An economic slowdown in China would have global consequences, says Yellen. Her comments come amid concerns that Evergrande’s woes could spark a financial crisis.

An economic slowdown in China would have global consequences, says Yellen. Her comments come amid concerns that Evergrande’s woes could spark a financial crisis.

The US government is closely monitoring developments in China, where real-estate giant that could ripple through the global economy, said Treasury Secretary Janet Yellen. "Real estate is an important sector of the Chinese economy. It accounts for about 30% of demand," said Yellen in a taped interview with that aired on Sunday. "And a slowdown in China, of course, would have global consequences. China's economy is large, and if China's economy were to slow down more than expected, it certainly could have consequences for many countries that are linked to China through trade," she added to the network. Real-estate firms in China are grappling with high debt levels and looming defaults as China Evergrande is now the world's most indebted company with a $300 billion debt pile. It has managed to several overdue coupons just in time, averting a default that could send the rest of the sector — and possibly the rest of the world — into a Yellen told CBD Chinese authorities are trying to manage the situation: "They're certainly trying to do that, and it's something we're watching closely." Yellen's comments come after the said in its , released last Monday, that stresses in the Chinese real-estate