The breakdown of the Chinese property market exemplified by the Evergrande crisis coupled with the unknowns of the shadow banking debt rocked China in 2021. China has been responding to these vulnerabilities. A Ministry of Finance official on Wednesday pointed to changes in the Chinese treasury bond market. The official said China will issue a record amount of Treasury Bonds in 2022. The official added that China will guide overall interest rates lower for it’s Treasury Bond issuance in 2022. … Continue reading “China Aims to Guide More Long-Term Foreign Investors into its Treasury Bonds”
People’s Bank of China Governor Yi Gang, who was Zhou Xiaochuan’s protégé. announced over the weekend that the PBOC has room to provide liquidity to the economy. Yi is a technocrat with over 20 years experience at the PBoC and is not moved by outside parties calling for restraint.
China released February inflation reports with the consumer price index (CPI), which rose by 1.5 percent year on year as expected but under the CPI target for 2019 of 3 percent. The Producer price index (PPI)rose 0.1 percent y/y under the expected 0.2 percent.
Zhou Xiaochuan after 15 years as head of the People’s Bank of China is retiring with his protégé Yi Gang taking over. Yi is a technocrat with over 20 years experience at the PBoC.
People’s Bank of China, China’s central bank raised interest rates on its standing lending facility (SLF) short-term loans by 5 basis points.
The Chinese Central Bank (PBOC) has responded to calls they should Tighten Monetary Policy Following Warnings on Debt and the World Bank warned on the size of Shadow Banking Of Chinese Debt by drafted new regulations for financial institutions.
With China’s 19th Communist Party Congress off and running the PBOC is out on comments on the Yuan both internal and globally. There has been much talk about monetary policy, shadow banking and using Yuan in oil and commodity markets as the base currency.