China: Shadow Banking to Help Curb Risks
China: Shadow Banking to Help Curb Risks

China: Shadow Banking to Help Curb Risks

China: Shadow Banking to Help Curb Risks

China may include shadow banking, property financing and internet financing in its macro-prudential assessment to help curb risks, vice central bank governor Yi Gang said in remarks published on Monday, CNBC reported. Chinese policymakers have been trying to contain financial risks and slow an explosive build-up in debt without stunting economic growth. “We will further improve macro-prudential policy framework, explore ways to include shadow banking, real estate financing and internet financing,” Yi wrote in China Finance, a publication under the People’s Bank of China. The central bank will also include interbank certificates of deposit and green credit in its MPA reviews and improve its counter-cyclical adjustments on capital flows, Yi said. Since the first quarter of 2017, the central bank has included banks’ off-the-balance-sheet wealth management products—part of the sprawling shadow banking sector, in its examination of broad credit in its MPA risk-tool. China’s financial deleveraging has pushed up money market rates, bond yields and corporate funding costs as broad M2 money supply growth hit a record low of 8.2% last year—well below the official target of around 12%.


Short URL : https://goo.gl/FWYBsh
  1. https://goo.gl/F7AKLN
  • https://goo.gl/Pnjnb1
  • https://goo.gl/e7KfEp
  • https://goo.gl/STXJ5k
  • https://goo.gl/GLwiia

You can also read ...

An expanding trade war threatens to squeeze incomes.
The untold story of the world economy—so far at least—is the...
Russia has been seeking ways of decreasing dependence  on the US currency.
One of Russia’s largest banks, VTB is seeking to decrease the...
Uncertainty abounds in Malaysia, where a two-month-old government is only starting to give  a clearer picture of economic policy.
For Southeast Asia's biggest economies, 2018 wasn't supposed...
PwC Says Australian Firms Deliberately Going Broke
Companies that deliberately fail are costing the Australian...
Asian Stocks Retreat, European Shares Mixed
Asian stocks closed lower on Monday as investors digested the...
Turkey Budget Deficit Expands
Turkey’s central government budget balance recorded a deficit...
Chinese Premier Li Keqiang (C) shakes hands with Jean-Claude Juncker (L) and Donald Tusk after the meeting in Beijing on Monday.
China could open its economy if it wished, European Commission...
Experts Say China Can Cope With Uncertain H2
China is confident it can cope with a more uncertain second...

Add new comment

Read our comment policy before posting your viewpoints