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He said better regulation was needed to manage the debt risks.
A company that issues a lot of new debt risks having its credit rating lowered.
"It's not about who fails but about getting more information including on sovereign debt risks".
"If banks think they can psychologically screen bad debt risks, they are deluding themselves.
"China's government debt risks are in general under control, but some areas have certain dangers," the report said.
Ann Rutledge, a co-founder of R & R Consulting, a firm based in New York that helps investors gauge debt risks, is a former Moody's structured-finance executive.
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"That means the debt risk is only going to rise," she added.
"2011 was a year of great fear around [sovereign debt risk].
"I wouldn't argue that you always have a strong carbon debt risk," he continued.
Debt risk remains with the banks; hopefully they will more carefully scrutinize borrowers.
A measure of the United States's corporate debt risk dropped for a third day.
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