China Property Crisis: Asia's richest woman suffers huge loss due to China's real estate crisis, half the wealth cleared

China is currently engulfed in several economic crises one after the other. Out of this, the crisis that is being feared to have an impact on the world is China's property crisis. In fact, China's real estate sector is in debt, due to which investors are keeping distance from the companies of the sector. At the same time, due to this crisis, the wealth of many billionaires has come to the ground. The situation is that in the midst of changing conditions, the richest woman in Asia has lost half her wealth. China's property market giant Yang Huyan's wealth has declined by more than $11 billion in the past year. Yang is a majority shareholder of Country Garden. The most important thing about this whole story is that Country Garden is one of the few companies in the real estate sector of China whose economic health has not been directly affected by the property crisis. Yang has suffered the loss of investor confidence.

How much damage

According to the Bloomberg Billionaires Index, Yang's net worth was $23.7 billion a year ago, and it has now come down to $11.3 billion. During a year, it has seen a decline of 53 percent. In the same week, the company's stock saw a decline of 15 percent. When the company announced that it would sell new shares to raise money. The company planned to raise more than $ 340 million to pay off the debt. For which it has been announced to issue new shares. This fall in the stock has also led to a decline in Yang's assets. Yang got this wealth from his father. In 2005, he transferred his shares to Yang.

What is China's real estate crisis

China focused on real estate development for rapid economic growth. Because of this, companies in the real estate sector started many big projects by taking high loans. Although many projects were not practical, it started causing damage to the real estate sector. At one time, many projects in China became famous as ghost towns. That is, no one lived in these projects with all the amenities. This started affecting the further projects of the companies and now many projects are incomplete and many companies are on the verge of bankruptcy due to non-payment of loans. China's real estate sector has a debt burden of $ 300 billion.