This post first appeared on Floating Path.

The Chinese business boom has brought with it a substantially more leveraged economy than existed just a few years ago. The below chart from Goldman Sachs Group Inc (NYSE:GS) lists the nations with the greatest 5-year change in debt-to-GDP from 2007-2012, and China ranks behind only Japan.

Unlike other nations on this list though, China’s debt has largely been fueled by corporations. Total debt-to-GDP has increased 56% over just those 5 years.

Debt composition in the U.S. has almost moved in the opposite direction of China. The total debt ratio has increased, but in the U.S. it is fueled almost entirely by government debt while households have significantly delevered.

Pace of corporate Leverage Growth 600x395 Chinese Corporations Have Levered Way Up