Blog Archives

Xi´s Marxist tone – Victor Shih

President Xi Jinping has been addressing the nation on the 95th anniversary of the Communist Party and the tough Marxist tone has been striking, says political analyst Victor Shih. Where his predecessors followed a more flexible road on economic development, Xi goes for a nationalistic approach, he tells AP.

Brexit fallout: pressure on the Renminbi – Victor Shih

China has been preparing for the fallout of a decision of the Federal Reserve, but find themselves dealing with an unexpected black swan, says financial and political analyst Victor Shih to Bloomberg. The Renminbi might be under pressure.

Making sense out of the financial zigzag policies – Victor Shih

Making sense out of Beijing`s recent financial direction is hard, even for veteran political and financial analyst Victor Shi. In the Wall Street Journal, he tries to give it a shot. “As with any addiction program, the first step is to admit you have a problem.”

Lower GDP hurts paying back debts – Victor Shih

China´s GDP dropped to 6.4% and while many countries would be happy with such a growth, it creates a major problems for China, as current debts cannot be served, warns financial expert Victor Shih in Bloomberg.

Will the Tobin tax work in China? – Victor Shih

China is preparing a Tobin tax, a tax on capital transactions. At this stage for a zero percentage, but the writing is on the wall. It´s effect on China´s currency depends very much on how the government is going to use this tool, says finance professor Victor Shih in Bloomberg.

Fiscal deficit divides lawmakers – Victor Shih

China´s lawmakers arrive in Beijing for their annual meeting and finance is high on their agenda´s. And opinions are divided, says political analyst Victor Shih to Bloomberg, for example when it comes to the fiscal deficit.

New credit only helps state-owned enterprises – Victor Shih

China is trying to boost the economy by opening its credit lines again, but that credit mainly serves the state-owned companies, while the private sector is suffering, explains financial analyst Victor Shih in Bloomberg.

Shake-up at financial regulator does not mean change – Victor Shih

The surprise dismissal of China´s financial regulator Xiao Gang does not mean that its policies and approach are really going to change, says political analyst Victor Shih in the New York Times. His successor Liu Shiyu is certainly no bold reformer, says professor Shih.

Central bank moves in to ease turmoil – Victor Shih

The governor of China´s central bank, the People´s Bank of China, Zhou Xiaochuan tried to ease the expected turmoil on the financial markets ahead of their opening after Lunar New Year. Zhou tries to save the few reforms he was able to achieve, says financial expert Victor Shih to Bloomberg.

How much foreign reserves China can afford to lose? – Victor Shih

China has been losing massive foreign assets trying to manage its unruly financial markets. Financial analyst Victor Shih believes that for Beijing, alarm bells might to off when foreign reserves go under US$3 trillion, he tells at Bloomberg. And we might be at that point fast.