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A towering debt mountain looms behind China's market gyrations

It was China's reliance on credit-fuelled growth in the wake of the 2008 global financial crisis that resulted in one of the biggest debt expansions in recent history, and today's hangover.

Hong Kong

LOST in all the Chinese stock and currency market gyrations, policy missteps and mixed data is this economic reality: The government is constrained by a credit bubble that has ballooned to US$28 trillion in an economy growing at its slowest pace in 25 years.

Policy zig-...