China, economy in crisis: is real estate to blame?

near term, mainly due to increased geopolitical tensions and potential natural disasters, including extreme weather events. Manuela V. Ferro, vice president for East Asia and the Pacific at the Bank of the World Economy, said in the report: "East Asia and the Pacific remains one of the most dynamic and fastest growing regions in the world, although growth is slowing. In the medium term, supporting high growth will require reforms to maintain industrial competitiveness, diversify trading partners, and release the potential for productivity gains and job creation in the services sector. "

In its report, the Bank for the World Economy also noted the strong growth'''It could take several years or even decades for the real estate sector to recover. The problem is that too much housing has been built for the Chinese. The urbanization process in China, which has continued very rapidly in the past 10 years, is slowing down. "

The real estate market in the country has been in trouble for months as major real estate companies Evergrande and Country Garden are in serious debt problems.