Chinese developer Country Garden reports $6.7bn loss amid fears of another Evergrande

Group warns that if its financial performance continues to deteriorate' it faces possible default after huge half-year losses

Embattled Chinese developer Country Garden reported a 48.9bn yuan ($6.7bn) loss for the first half of the year in a stock exchange filing on Wednesday, adding to worries of a potentially catastrophic default.

Its tenuous state has sparked fears of a collapse that could have far-reaching consequences for the Chinese financial system two years after the fall of Evergrande.