BEIJING — The global economy is full of risks right now. Growth is sluggish, and central banks seem powerless to fix it. Europe faces persistent challenges and division. In America, the election looms. But some say the biggest danger of all may be on the other side of the world, in China.
China is in the midst of one of the biggest borrowing binges in recent history. Its debt load reached $26.6 trillion in 2015 — about five times what it was a decade ago, and more than two and a half times the size of the country’s entire economy. That huge increase has prompted some economists and even the prominent investor George Soros to compare China to the United States before the 2008 financial crisis.