Evergrande Group's fears that the debt crisis will spread to the industry have increased after Chinese real estate development firm Modern Land announced that it missed its coupon payment.
Modern Land (China) Co Ltd announced that due to "unexpected liquidity problems", 12.85 percent interest coupon, which was due yesterday, could not make the principal payment and interest payment.
China's State Planning Organization will meet today with real estate companies that have large amounts of dollar-denominated debt regarding their total issuance amounts and solvency, following growing concerns about liquidity.
Evergrande paid at the last minute
Evergrande Group saved the company from defaulting at the last minute by transferring enough money to pay interest on a dollar-denominated bond into their bank accounts last week.
But Evergande, which has more than $300 billion in debt, has one more payment due Friday this week.
Chinese Fantasia Holdings was also unable to pay its $206 million debt on time.
Shares of Chinese real estate companies also increased their losses, driven by concerns over China's pilot property tax imposition plan.
The China CSI 300 real estate index fell 2.6 percent, while the Hang Seng real estate index fell almost 5 percent.
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