Investors and banks that have been piling into Asia's fast-growing offshore debt market face a painful reckoning as there seems to be no end in sight to the debt woes of Evergrande Group - China's second-largest property developer.

Lured by high yields and assuming that Beijing would bail out insolvent borrowers to avoid spooking financial markets, global investors had entered the mainly United States dollar-denominated Asian bond market, which has seen a fivefold increase in issuance in the past 15 years.