The sobering fact that China’s shadow banking system now contributes about one-third the country’s total credit to the real economy is a stark lesson in how well-intentioned policy can lead to a financial mess. Mainland…
FINANCE
China, Luxembourg sign deals on finance, aviation
(Xinhua/Zhang Duo) BEIJING, June 12 (Xinhua) — China and Luxembourg on Monday signed cooperative agreements in finance and aviation during Luxembourg Prime Minister Xavier Bettel’s visit. China hopes to enhance cooperation with Luxembourg in the…
China unlikely to see financial crisis
Moody’s downgrading of China’s long-term local currency sovereign debt from Aa3 to A1 is badly timed, as it coincides with China’s efforts to attract foreign investment into the domestic bond market. However, China’s massive credit…
Are developers ending their affairs with China’s shadow banking system?
As they say in China, whatever policies the central government introduces, the lower levels of power will find a means to counter them. Look no further than Beijing’s uphill struggle to cool the country’s surging…
Mainland investors say goodbye to double-digit returns as Beijing tightens regulations on online lending platforms
One popular investment theme in China has begun to lose its appeal, as Chinese authorities continue with their push to tighten credit and restrict lending through the shadow banking sector. Investors accustomed to double-digit returns…
China slows wealth management product issuance amid tightened regulation: report
BEIJING, June 11 (Xinhua) — China’s banking sector has seen moderated growth in the issuance of wealth management products (WMPs) as the country stepped up efforts to contain risks in the financial industry, a report…
Chinese banking regulator urges progress in inclusive financing
Noting progress in inclusive financial service improvement over the past years, Guo said during an inspection to the Industrial and Commercial Bank of China that there were still issues such as lengthy decision-making process and…
China unlikely to see mid-year liquidity crunch: newspaper
China is highly unlikely to see a mid-year liquidity crisis this year, and there will be no repeat of the “unusual market fluctuations” seen in June 2013, a central bank-affiliated newspaper said. In an editorial…
China urges banks to devolve loan approval responsibility to boost lending
SHANGHAI China’s banking regulator has urged lenders to devolve responsibility for loan approvals in order to boost credit to small and micro businesses, but also emphasized that risks need to be kept under control. Guo…
Beijing’s first private bank set to open
The Beijing office of China’s banking regulator on Tuesday approved the opening of Zhongguancun Bank, the capital’s first private financial institution. It will be the 13th such bank granted permission to operate in the country.…
China’s campaign to ease corporate costs will hit fiscal revenue: finance ministry official
BEIJING China’s efforts to cut taxes and fees on companies will hurt government revenues, but increased economic activity generated by a lighter cost burden will help keep overall state finances stable, a finance ministry official…
China can’t fix its financial problems by debt cutting alone, economists say
The push for real economic reforms remains a key challenge facing President Xi Jinping during his second term, as structural improvements beyond debt reduction are needed to contain China’s financial risks, chief economists of China’s…
Australian Politics Is Open to Foreign Cash, and China Has Much to Gain
opaque campaign finance system. By contrast, such donations are largely banned in the United States, Canada and throughout most of Europe. “It’s not so much that China is more active but that Australia is more…
