[Editor’s Note: This is a post from Sherry Zhang who is the latest member of the Lend Academy and LendIt teams. Sherry is based and China and previously covered the Chinese fintech market. She is…
Tagged By banking
Chinese companies hit by credit squeeze as corporate debt costs surge
The cost of raising capital through the corporate bond market in China has exceeded that of bank lending for the first time since 2008, raising concerns that Beijing’s crackdown on financial leverage is starting to…
Beijing International Fair for Trade in Services opens
finance and telecommunications. Meanwhile, various products like the intelligent security lock, VR glasses, smart cameras, which embody the scientific and technological innovation of Beijing, make their debut at the fair. At the booth hosted by…
China central bank’s dilemma: how much financial tightening is too much?
When China embarked on a massive credit stimulus in late 2008, the job of the People’s Bank of China became relatively easy: it just had to provide as much cheap credit as banks wanted in…
Baidu’s Turn as a Bank Is Unwelcome
Everything is a bank in China these days it seems—even its biggest internet search engine. The move by Baidu BIDU -1.99% —often referred to as China’s Google—into financial services has now caught the eye of…
RPT-SPECIAL REPORT-‘Ghost collateral’ haunts loans across China’s banking system
SHANGHAI May 31 The banker at the other end of the phone line was furious, recalled Shanghai lawyer Wang Chaoyu. A pile of steel pledged as collateral for a loan of almost $3 million from…
China’s Monetary Conundrum
This trend can be traced back at least to 2004, when a fast-growing trade surplus and massive capital inflows, as well as relentless exchange-rate appreciation, forced the People’s Bank of China (PBOC) to resort to…
Monetary policy and China’s soaring leverage problem
China’s leverage ratio — the ratio of debt to assets or equity — is rising at an alarming pace and approaching a historical high. High leverage ratios have in the past caused concern that financial…
China’s Debt Problem Moves Back to the Future
The Chinese bond market is dead. Long live China’s shadow banks. Beijing’s full-frontal assault on financial market leverage this spring has driven bond yields skyward, but hasn’t sparked the systemic credit crunch that many feared.…
China’s financial clampdown will continue — for now
The financial crackdown in China in the past three months flies in the face of the conventional wisdom that nothing would be allowed to happen to rock the boat ahead of the important 19th Communist…
Can monetary policy solve China’s soaring leverage?
China’s leverage ratio — the ratio of debt to assets or equity — is rising at an alarming pace and approaching a historical high. High leverage ratios have in the past caused concern that financial…
China manufacturing grew more than expected in May, official survey shows
ANZ’s senior China economist Betty Wang said in a note that the bank expects infrastructure investment to take a “big role” in supporting growth in the months ahead. “Infrastructure investment appears to have decoupled from…
Why China’s Debt Downgrade is a Tempest in a Teacup
It’s easy to see how these “scary” headline numbers could be used to frighten investors away, especially when those figures get taken completely out of context from what’s actually happening in China today. First, financial…
