China’s local governments are raising funds through investment vehicles to circumvent regulations that prevent them from borrowing directly. A crackdown on such loans, estimated at about $1.7 trillion at the end of 2009, could trigger a gigantic wave of bad debts as projects are left without funding.
A Moscow teenager launched a chat website late last year, which only 500 people were using. Now Chatroulette gets around 1.5 million visitors daily. Russian billionaires are offering to buy Andrey Ternovskiy out. And Silicon Valley is interested.