The pain is spreading in the market for Chinese junk bonds. Dollar-bond defaults from Chinese property developers are rising quickly as the country’s housing market slumps, and the problem could worsen as a wave of debt from the beleaguered industry comes due in the coming months, the Wall Street Journal reported. Real-estate developers dominate China’s international high-yield bond market, making up about 80% of its total $197 billion of debt outstanding, according to Goldman Sachs.

The Turkish lira plunged to a record low against the U.S. dollar Thursday after a harsher-than-expected cut in interest rates, the Associated Press reported. The decision by the Central Bank’s monetary committee to cut the rate from 18% to 16% surprised analysts. The lira dropped to 9.45 against the dollar, compounding a long run of losses. The cut, which came as inflation stands at nearly 20%, will be seen by many as further evidence of the bank’s lack of independence from the government of President Recep Tayyip Erdogan.

China Evergrande Group has dropped plans to sell a 50.1% stake in its property services unit, which would have raised $2.6 billion, dealing another blow to the cash-strapped developer's efforts to raise cash to pay its creditors, Reuters reported. Once China's top-selling developer and now reeling under more than $300 billion in liabilities, Evergrande was in talks to sell the stake in Evergrande Property Services to smaller rival Hopson Development Holdings.

Asia Aviation Pcl, the operator of Thailand’s biggest budget carrier Thai AirAsia Co., plans to raise as much as 17.9 billion baht ($535 million) from new loans, share sales and convertible-debt offerings as it attempts to restock coffers depleted by the worst crisis in aviation history, Bloomberg News reported. A revised financial restructuring plan for the company has been put forward and Asia Aviation is consulting with new investors, shareholders and creditors, Asia Aviation said in an exchange filing late Tuesday.

Indian bonds may not sell off sharply even as the nation’s central bank unwinds stimulus measures because the monetary authority has been communicating its gradualist approach to participants, according to Reliance Nippon Life Insurance, Bloomberg News reported. “It’s a very transparent and calibrated approach the monetary policy committee is taking,” Jyoti Vaswani, chief investment officer at Reliance Nippon Life Insurance Ltd. said in an interview with Bloomberg TV.

Salt Lake Potash Ltd. said Wednesday that the company is insolvent or likely to become so in the future, MarketWatch.com reported. The Australia-focused fertilizers company has appointed administrators, receivers and managers to market the company and its assets for sale and recapitalization. The group had warned in July that it needed to raise money before the end of the year in order to continue operating its Lake Way project.

Chinese President Xi Jinping has made no secret of his desire to deflate China’s property bubble. But according to people with knowledge of government deliberations, he is facing resistance over a measure aimed at curbing housing speculation: a nationwide property tax, the Wall Street Journal reported. Many economists and analysts have long argued that such a tax could make it more expensive to speculate on property and help bring down prices. That would help reduce the financial burden on middle-class families, in line with Mr. Xi’s goal of a more even distribution of wealth.

China Evergrande Group's deal to sell a 51% stake in its property services unit has been put on hold, two people with knowledge of the matter said, in a blow to the embattled developer's hopes of avoiding a potentially disruptive default, Reuters reported. Evergrande, teetering on the brink of collapse with more than $300 billion in debt, was in talks to sell the stake in Evergrande Property Services to smaller rival Hopson Development Holdings for around HK$20 billion ($2.6 billion), sources have previously told Reuters.

Indonesia's central bank kept its policy rates steady at record lows on Tuesday to support a tentative recovery, even as economic activity picked up in recent months thanks to rebounding consumption and robust commodity exports, Reuters reported. Bank Indonesia (BI) held the benchmark 7-day reverse repurchase rate steady at 3.50% for the eighth month, saying the decision was in line with the need to support the recovery while keeping the rupiah stable. All 29 analysts in a Reuters poll had expected the move.

Indonesia is preparing a backup plan for flag carrier PT Garuda Indonesia if it fails to reach a deal with creditors, including the option of upgrading air charter PT Pelita Air Service to a scheduled airline, Bloomberg News reported. The course of Garuda’s current talks with creditors hinges on a court decision on a debt petition against the airline, with the ruling set to be announced Thursday, Kartika Wirjoatmodjo, a deputy minister at the State-Owned Enterprises Ministry, said by text message on Tuesday.