Tag Archives: Zombie

China’s central bank chief urges Beijing to promote equity, cut debt, eliminate ‘zombie’ companies

China’s central bank boss spelled out his strategy to prevent a future financial crisis, urging broadened equity funding and direct finance to reduce corporate leverage and eliminate “zombie” companies, official media reported on Saturday. Zhou Xiaochuan, Governor of People’s Bank of China, said that the market should play a “decisive role” in allocating financial resources, but also stressed the importance of stronger ... Read More »

Zombie companies haunt the Canadian economy

e Toronto Stock Exchange and TSX Venture Exchange that he said collectively had negative working capital of $2-billion. Mr. Simon followed up by identifying an additional 512 non-mining companies that together were in the hole – having negative working capital – of an additional $2.1-billion. Zombies haunt the Canadian economy because they drain resources from productive firms, says Glen Hodgson, ... Read More »