China is considering at least 1 trillion yuan ($137 billion) of additional sovereign debt for spending on infrastructure such as water conservancy projects. If the debt is issued, the 2023 budget deficit would rise above the 3% cap set in March.

Country Garden, China's largest private developer, has warned it will miss a loan payment of $60 million. this would be the first default on overseas debt for Country Garden. They have about about $200bn in liabilities and close to $10bn in dollar-denominated debt. In August, they were late but within the 30-day grace period.

Country Garden said its sales for the first nine months were down 44 per cent on the same period in 2022.