China's realty-development garden has a zombie?

Meanwhile, in a distant land, Country Garden struggles to get out of its hole.

One year and two days ago I posted here about the huge Chinese realty developer and its default on its bonds.

The broader issue, worth noting from the other side of the world, is: the PRC allows huge companies to continue in operation after they have ceased to be economically viable yet without restructuring or liquidation. It is known as the "zombie companies" issue and the zombies are a drain on the productivity of the economy as a whole (though, no, we cannot even metaphorically say that they eat its brains).

https://jamesian58.blogspot.com/2023/10/news-from-china-country-garden-story.html

The question after the default was: would Country Garden become such a zombie?

https://www.bloomberg.com/news/articles/2024-10-09/country-garden-misses-target-date-for-restructuring-backing

Nothing new to report, one might say: but that fact IS the news worth reporting. Bloomberg is now reporting that the company is trying to restructure itself, but seems to be flailing.

The notion of a "zombie" company with a tranquil bucolic name like "Country Garden" is oddly compelling. Like a garden gnome designed for Halloween use.

Here is a fuller account as a video from Asianometry: https://www.youtube.com/watch?v=U_UhVy9MY_8

The zombies in realty are in fact having a deleterious impact on the rest of China's economy. China's Gross Domestic Product expanded in the third quarter of this year by only 0.9%, a disappointing number.

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