Concerns are growing about China's economy as the country's new leadership tries to get a handle on deep problems that experts say have been years in the making.
There was a record spike Thursday in rates banks charge when they lend to one another, evoking memories of the credit shortage that shook the U.S. economy during the financial crisis. A disappointing figure from the manufacturing sector provided another ominous sign this week, causing further alarm that China's slowdown is well under way.
For years, China has been viewed as a place flush with money, erecting gleaming airports, highways and entire cities seemingly overnight. But experts say that much of that building — and impressive economic growth — was fueled by debt that local governments are now struggling to repay, especially as the economy slows down.