Category Archives: People’s Bank of China

China’s banking system: walking on a tightrope – Sara Hsu

China’s financial authorities try to manage shadow banking, corporate leveraging and now also a heated trade war. Financial analyst Sara Hsu explains how the country’s banks are walking a scary tightrope, at the EastAsiaForum.

How the central bank dresses up its figures – Victor Shih

China’s central bank PBOC is dressing up its figures. Financial analyst Victor Shih, author of Factions and Finance in China: Elite Conflict and Inflation, has for Bloomberg a look at…

Why China will not sell off its US treasuries – Arthur Kroeber

More than once selling US bonds in the hands of China has been suggested as a powerful tool in the trade war with the US. But selling those treasuries does not make sense, says economist Arthur Kroeber, author of China’s Economy: What Everyone Needs to Know® in the South China Morning Post.

Why the central bank might start printing money again – Victor Shih

We have seen this before, says financial analyst Victor Shih about the efforts by the financial authorities in China to reduce debts. In 2014 they tried the same, and in 2015, 2016 the PBOC, China’s central bank, started to print money again. When economic growth comes under a certain level, that will happen again, he tells Bloomberg.

Economic optimism for China’s 2018 – Arthur Kroeber

Economists seldom all agree when it comes to China’s economic future, but there is a widespread optimism about the expected country’s performance for 2018, tells leading economist Arthur Kroeber, author of China’s Economy: What Everyone Needs to Know®, to the South China Morning Post.

Stabilizing risks: key for financial reforms – Sara Hsu

President Xi Jinping has promised more financial reforms, but financial analyst Sara Hsu says managing risk is key, over the need for reform. Fintech, debts and due diligence are some themes in the next five years of China’s financial development, she adds at the state broadcaster CGTN.

Why China is a Ponzi scheme – Victor Shih

Calculating China’s debt has been a major political game, and political analyst Victor Shih claims the country’s debt “around 328% of GDP in May”, writes Livemint. The central bank overcalculated banking assets, he says.

Conservative resistance against liberalization of the yuan – Victor Shih

Retiring central banker Zhou Xiaochuan called this week for the liberalization of China’s currency, the Yuan. But conservative forces might find this step from the People’s Bank of China (PBOC) a step too far, says financial expert Victor Shih to Bloomberg.

Financial institutions: earning on data – Shaun Rein

Online financial institutions like Alibaba’s Ant Financial and Tencent are developing new business models, where they make money on the giant amount of data they collect. Financial authorities are stepping in, for the right reasons, says business analyst Shaun Rein to the China Daily.

Risk and opportunities of the bitcoin – Mark Schaub

Chinese authorities have started to regulate the usage of the bitcoin. That is not necessarily a bad thing, writes Shanghai-based lawyer Mark Schaub at the website of his law firm. “Regulation should be seen as an opportunity, too. More stringent rules translate to lower investment risk and increased legitimacy.”