Signal Chinese corporate debt is double the global average and 80% of corporate real assets

Summary

MGI identifies China as the major exception to the easing of corporate debt seen in much of the world. Chinese corporate debt is about twice the global average, reached 1.7 times GDP, and rose by six percentage points of GDP in 2025 alone. This build-up is happening while the share of loss-making firms rises and producer prices fall. Measured against the real assets companies own, China's corporate debt is also the highest, at a ratio of about 80 percent, compared with a typical 40 to 50 percent across countries. The report counts this debt accumulation among the factors that brought near-term benefits to China but left its economy more vulnerable to a correction.