(WSJ) China has asked the local authorities to be ready for a potential downfall of Evergrande Group, remaining adamant against a bailout of the property developer.
Beijing has urged the local governments and state-owned enterprises to only step in at the last minute if Evergrande fails to handle its affairs properly.
The authorities are asking local delegated bodies to assemble professionals in accounting and legal experts to scrutinize Evergrande’s finances.
China’s call happens when Evergrande faces a series of maturing obligations in the next few weeks. Authorities say local governments have a mandate of preventing unrest and addressing any ripple effects on the economy.
3333: HKG is up +17.62%.
