While the world is watching Evergrande Group's crisis, it is football that underlines how the Chinese state functions
The world is watching the Chinese conglomerate Evergrande Group, once among one of the most powerful companies in the world and the second biggest in China after Alibaba (owned by Jack Ma). The same company, yes, is now reeling under potential defaults. It is holding an inglorious record of being the most indebted conglomerate in the world, with more than $300 billion in debts. The Chinese government, which is embarking on a major crackdown on major firms to ensure that they would get the lesson about financial regulation - which is recently being imposed by Beijing to control the money influx and borrowings - has suddenly changed the tune and throwing over $14 billion cash to save the company. The current crisis of Evergrande is threatened to turn China into a major moment of another Lehman Brothers, the American company that crashed in 2008 and sparked a widespread economic crisis. The fear is real and Fitch to Moody had decreased the credit rating of the Chinese firm with the risk r...