China is truly plunging into a debt-fueled society. As a result, 100 million people—a figure far exceeding the population of most mid-sized countries—have realistically become bad debtors. If steps are missed, there is no telling whether the entire nation might crash due to debt before it can even become a G1 superpower. 

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Image shows bad debtors recently ruled as "laolai" (dishonest debtors) by a court in Sichuan Province. Being labeled as a laolai entails severe restrictions. / The Beijing News (Xinjingbao)

According to Beijing sources well-versed in the Chinese economy on the 20th, China is fully qualified as a country that would aggressively run up debt without a second thought. Given that the so-called triple debt—the combination of national, corporate, and private debt—currently stands close to 300% of the country's gross domestic product (GDP), further explanation is superfluous. When factoring in even more pessimistic forecasts suggesting it is close to 600%, it is fair to say that China is a bold debtor indiscriminately running up massive bills.

Above all, private individual debt is no laughing matter. As of the end of 2025, the total amount is estimated to exceed 200 trillion yuan (about 45,200 trillion won). This reaches nearly 140% of GDP. A calculation immediately shows that the average debt per capita reaches 140,000 yuan. Recalling the reality that China's per capita GDP in 2025 was only around 90,000 yuan, it is all too clear how much Chinese people are suffering under debt pressure.

Furthermore, considering the reality that Chinese people's pockets are emptying due to the plunge in real estate prices that began several years ago, it can be confidently asserted that the average per capita debt of 140,000 yuan is completely unmanageable. In fact, the number of people unable to pay off their debts is exploding. According to recent statistics from Gavekal Dragonomics, an investment analysis firm, out of some 800 million people holding debt, a whopping 100 million are identified as failing to repay their liabilities on time.

The total amount of debt they fail to repay is also growing explosively. It is estimated to reach 2.22 trillion yuan, which surged by as much as 21% last year. Calculating that this is an all-time high is also not very difficult. These individuals naturally must prepare themselves for sanctions from financial authorities and other bodies. In the worst-case scenario, they could be labeled as "laolai" (dishonest debtors), meaning bad debtors blacklisted for credit.

If one fails to break free from the shackles of debt and becomes a laolai, life immediately turns miserable. Being unable to conduct normal financial transactions should be considered relatively minor. In the worst-case scenario, they cannot even board airplanes. Leaving the country becomes entirely out of the question. At this point, it is fair to describe them as complete slaves to debt.

The government and corporations are not much different. They too could become another laolai at any missed step. In that case, the resulting reality requires no further explanation. It is only natural that China would never become the G1 superpower it has set as its national goal. Therefore, the conclusion that it is desirable for China to escape from being a debt-fueled society even now is not strange at all.

                                                                                                           Hong Soon-do