A court in southern China has formally declared bankrupt Guangxi Nonferrous Metals Group Co Ltd, an unlisted state-run metals producer that defaulted on a bond in February and missed a payment in April, Reuters reported. The firm, which is owned by the Guangxi regional government, had failed to propose a court-ordered reorganization plan within a six month window, the intermediate court in Guangxi's capital Nanning ruled on Sept. 12 according to a statement posted online on Monday. As such, the restructuring period was brought to a close and the company was declared bankrupt, it said.

China's listed property developers issued 960 billion yuan (110.8 billion pounds) in bonds as of Sept. 19, more than three times the amount in the same period last year, financial magazine Caixin reported, citing data from WIND, a Chinese financial data provider. "At this pace, there is no suspense that bond sales by property developers would reach over 1 trillion yuan ($149.91 billion) this year," the report said. The report attributed the rise to easier access, low interest rates, encouraging property policies and a lack of other investment channels.

The Chinese coastal city of Tianjin plans to issue corporate bonds to ease the debt burden of a local state-owned steelmaker — in a flagship case of restructuring in the domestic industry, the Financial Times reported. Tianjin’s city government has finalised a plan to restructure the Rmb192bn ($28.6bn) debt of Bohai Steel Group by placing its most profitable assets into a new company and converting a portion of the liabilities into bonds, according to Caixin, a respected financial magazine.

China’s debt has grown to alarming levels, according to new data from the Bank for International Settlements that highlight a big potential risk to the global economy, the Financial Times reported. What the BIS terms the country’s “credit gap” is now three times higher than the typical danger level, the research shows.

A warning indicator for banking stress rose to a record in China in the first quarter, underscoring risks to the nation and the world from a rapid build-up of Chinese corporate debt, Bloomberg News reported. China’s credit-to-gross domestic product “gap” stood at 30.1 percent, the highest for the nation in data stretching back to 1995, according to the Basel-based Bank for International Settlements. Readings above 10 percent signal elevated risks of banking strains, according to the BIS, which released the latest data on Sunday.

For many years, China's authorities took a Goldilocks approach to housing prices: They wanted a market that was neither too hot nor too cold, and took measures as needed to control prices. Although an explicit asset-price target was never announced, it was widely assumed that the government wanted home prices to grow in line with the rate of economic growth, Bloomberg News reported. To accomplish this, technocrats in Beijing deployed a combination of monetary stimulus and regulatory measures.

Since China was the first country to use paper money it shouldn’t be a surprise that it was also guilty, earlier than most, of monetary recklessness, The Wall Street Journal reported.

China's economic growth accelerated in August, a batch of data showed on Tuesday, relieving pressure on policymakers to boost stimulus and assuaging fears of a sharp slowdown that would drag down global growth, the Financial Times reported. Industrial production, a gauge of the crucial manufacturing sector, grew 6.3 per cent annually in August, the fastest pace since March. Retail sales growth accelerated to 10.6 per cent in August, up from 10.2 per cent in July, led by auto sales, which rose 13.1 per cent.

Amid mounting corporate debts and defaults, China's banking regulator has stepped into the fray, urging banks that are creditors of heavily indebted companies to coordinate their actions and negotiate together. The China Banking Regulatory Commission (CBRC) issued a notice on Friday that told banks to set up creditor committees not only to protect their rights but also, when possible, to help companies struggling to repay their debts to get back on their feet. Although the notice was aimed at banks, other financial institutions approved by the CBRC can also participate.

Shanghai police say they have found the root of rumors that sparked a home-buying frenzy in late August and led to instability in the city’s real-estate market, The Wall Street Journal China Real Time Report blog reported. It began, police said, with a woman who said she had a tip that the city government was mulling changes to home-buying rules.