China's property sector accounts for a whopping 30% of the economy versus 15% in the US.

And this hugely important sector has remained under pressure, hobbling the country's recovery and weighing on global economic growth.

So what's the road ahead and the implications for investors?

Could we see a systemic cause some kind of banking crisis in China?

For us, the answer is no.

And I think it's important to be aware

that policymakers in China

they're very focused on making sure

systemic risks don't emerge.

I'm Allison Nathan, and this is Goldman Sachs exchanges.

To help explain the significance of China's property market crisis and what it means for the broader economy and financial markets,

I'm sitting down with my colleagues in Goldman Sachs research, Hues Shan, our chief China economist, Ken Ho, our Asia Credit Strategist, and Yui Wang, who leads the

China Real Estate Team and is the co-head of Greater China Equity Research.

Wengkent are joining me remotely from Hong Kong, and Yee is joining me remotely from Shanghai.

Wei Kann and Y, welcome to the program.

Thanks for having us.

So Wei, maybe we could just kick off by getting some understanding of why the property sector troubles are so important here.

Sure, let me try to answer it from three different angles.

One is that the Chinese economy is very important for global economy. China's GDP is close to 20% of the global

GDP and then as you mentioned earlier, property is a large chunk of a Chinese economy. The second reason is that unlike in a lot of different economies, in China, property has

linkages to many parts of the economy, including, for example, local government sell

land as part of their revenue so you can see the

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