China’s ongoing deleveraging in 2018 has made its economy more efficient. It now takes 2.7 renminbi of new debt to generate one renminbi of additional GDP. This is the best ratio since 2012, lower than 15-year average and down from a peak of 6.8 just two and a half years ago.+

China’s ongoing deleveraging in 2018 has made its economy more efficient. It now takes 2.7 renminbi of new debt to generate one renminbi of additional GDP. This is the best ratio since 2012, lower than 15-year average and down from a peak of 6.8 just two and a half years ago.

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