Evergrande Group, China’s second largest real estate company, experienced 17.6 percent jump Its share price in Hong Kong rose by the end of Thursday’s trading, its first jump after days of consecutive losses.

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The company faces more than $300 billion in debt after years of incurring debt in a quest to grow along with China’s booming economy. While Thursday’s deadline for the $83 million loan payment was meant to serve as a beacon of what investors can expect for the firm’s long-term future, further news remained unknown.

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The company did not release any information about the status of its $83 million payment, nor did the Chinese government. While the payment is due on Thursday, as per reports, the company will have a grace period of 30 days to settle the debt before it defaults. Recent financial reports indicated that this time could be used for preparations for the Chinese government should the firm collapse.

Beijing’s financial regulators issued a set of demands to the company, Businesshala reported, asking Evergrande to do everything in their power to avoid a near-term default on its bonds issued in US dollars. Simultaneously, the government urged the government to focus on completing existing construction projects and repaying individual investors.

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So far, Beijing has remained silent on whether it plans to bail out Evergrande. Still, investors are hopeful that the government will support and support the entities it works with to stem the global economic fallout. Beijing has already invested $18 billion in the country’s banking system.

along with this news wall street journal reported that Chinese officials had contacted local governments and told them to be prepared for a possible Evergrande collapse. These entities were asked to take “last-minute only” steps to manage the results in an effective and systematic manner, the report said.

Evergrande owns over 1,300 properties and manages approximately 2,800 real estate projects spread across China. With many of these projects unfinished, the company’s collapse could cause panic and anxiety among Chinese home buyers.

According to previous reports, that the housing sector stands as one of the most important industries in the growing economy of China. David Dollar, Brookings Institution expert on Chinese economic affairs newsweek Many “people see buying an apartment as a sign of their progress” in China.

The drop in housing prices could be a major blow to the personal wealth of many Chinese citizens and would negatively impact the state’s ability to govern.