Will they ?? I’m not sure, let me offer another possibility.
Recently China supposedly cracked down a number of companies that had either gone public on the NYSE or were about to go public. what was the result of that, especially for the companies that had already gone public, the equity holders of those companies already collected their billions primarily from Pension funds in the USA, who took some major loses...
China will bail out their citizens who invested in these Property Development companies to keep them from rioting, but any foreign investors will get screwed, what is the result of that, unrest and chaos in Western Economies and who does that help ???
IMO, China allowed these companies to borrow recklessly sucking in capital from all over the world, building all kinds of properties in China and then folded them screwing Western Investors in process....
It’s interesting right in the middle of a Chinese Created pandemic when Western Economies are in real trouble, China starts to experience debt problems, especially when a lot of that debt is held by Western Economies....coincidence ??? I don’t believe in them...
Oh they won’t refund foreign investors, I agree there.
But they will have to find the cash somewhere, either by printing themselves into huge inflation or by borrowing more from world banks, or by selling Western debt.
I think they will do a combination.
Think of the 15 tall buildings that China blew up recently.
Prelude to the stock market crash.