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The global economy is facing its biggest challenges since the 2008 economic meltdown in the view of George Soros. In an interview conducted at an economic forum in the capital of Sri Lanka, the hedge fund manager discussed just how the changing economy of China is pushing the world towards a financial crisis similar to that seen in 2008. Bloomberg Business explained Soros detailed his views that the volatile markets seen towards the end of 2015 and into 2016 could become the norm as Chinese authorities struggle to cope with the changes being made to the economy; the problems the Chinese economy is causing the global financial sector have been highlighted by the $2.7 trillion wiped from global markets in the first weeks of 2016.
George Soros believes the issues facing the Chinese economy are that of adjustment to the changing face of the markets, which he explains is being caused by a shift to a service and consumption based economy. In the last few decades the Chinese economy has grown on the back of a financial sector dominated by manufacturing and investments, but the move towards a more service based economy has left the Chinese economy struggling to cope with a changing financial culture. George Soros believes this problem of adjustment will continue to cause global problems as officials within China slash interest rates and flood the economy with billions of dollars.

Despite focusing his attention largely on the Chinese economy and its many problems, George Soros also sees problems with the European Union potentially causing major issues for the finances of the world. Soros has seen the issues of debt within Greece as a major source of tension within Europe, and causing a potential collapse of the Euro zone single currency. However, the addition of a failing economy in Ukraine has raised more potential red flags for the hedge fund manager who feels the Ukraine and Poland are all that stands between Europe and an aggressive Russia. George Soros has continued to work with his Open Society Foundations charity to try and educate the people of Eastern Europe about the benefits of democracy; a stronger German Chancellor willing to assist the Ukraine is required if the European Union is not to descend into chaos in the eyes of George Soros.