Currency
How China’s emergency yuan loans to debt-beset nations mark ‘strategic pivot’
China has come under pressure to offer more relief to heavily indebted nations amid allegations from other countries that it has engaged in ‘debt-trap diplomacy’.
‘We’re not optimistic’: China economists offer critical takes on FDI outlook
Appealing to foreign investors has become very difficult for China, which has seen foreign direct investment fall this year amid de-risking efforts by multinationals and geopolitical wrangling.
US dollar trust not an ‘easy thing to overcome’ despite jump in de-dollarisation
International Finance Forum say a trend of using regional currencies rather than US dollar is a result of unprecedented US monetary tightening, but there still remains doubts about a credible alternative.
China’s charismatic, truth-telling ex-premier mourned as reforms hang in the air
Li Keqiang, who pushed for the private economy, foreign investment and simplified government procedures during his 10 years as premier, died in Shanghai on Friday morning at the age of 68.
China’s debt crises see cabinet work report focus on curbing contagion
Debt problems that have manifested in Evergrande and Country Garden cases are prompting China’s central bank to step up risk-monitoring of lenders and local government financing vehicles.
Without good options to diversify, China can’t wean itself off US dollar assets
China is still the second-largest foreign investor in US Treasuries despite seeing its holdings fall to a 14-year-low of US$821.8 billion in July.
China vows to strengthen policy support after August profits rebound
Central bank meeting outlines plans for more targeted monetary policies to aid economic recovery.
Economist says T-bills present risk, but holdings already substantially trimmed
At a summit in Shanghai, an academic has echoed some of his peers by recommending the dumping of US Treasuries – a move that they say would help ensure the safety of China’s overseas assets.
China slashes US Treasury holdings again as rate-hike cycle’s end looms
The world’s second-largest economy offloaded US$13.6 billion worth of US debt in July, but China remains the second-largest foreign holder of US Treasury bills, having been surpassed by Japan in mid-2019
Will China weaponise the yuan? Global finance body throws cold water on idea
Intentionally weakening the yuan would be a boon for cheaper Chinese exports, but on the whole, a devalued yuan could make China’s problems much worse.
China to cut forex deposit reserve requirement to support yuan, prop up economy
The People’s Bank of China will cut the reserve requirement ratio for foreign-exchange deposits later this month in the latest move to support the yuan exchange rate and prop up the faltering economy.
Explainer | Raimondo, Fukushima, unemployment data: 7 things from China’s economy in August
US Commerce Secretary Gina Raimondo completed a four-day trip to China in August, and Beijing also banned all Japanese aquatic products and stopped releasing China’s dismal youth-unemployment numbers.
How expanding China-led economic bloc Brics adds to the yuan’s global clout
While the US dollar may continue to hold sway among the Brics nations, economists say improving bilateral relations among Brics members – and their new additions – will boost their currencies, especially the yuan.
‘De-dollarisation’ gains traction among emerging economies ahead of Brics meet
Expansion rate of the Brazil, Russia, India, China and South Africa economic bloc seen determining speed at which it stops using US dollar systems.
Beijing bets on biotech to boost China’s foreign investment inflows
New 24-point list of guidelines covers areas of major focus where investors are likely to find opportunities, but relations between China and the West are a growing concern among business interests.
China posts first debt inflows of 2023, but weak economy set to limit longevity
US$3 billion was added to China’s debt market last month, ending a run of six straight months of outflows, the Institute of International Finance (IIF) said, but a rebound is unlikely to be sustained due to weak economic performance.
US dollar ‘weaponisation’ demands Beijing rethink yuan plans, economist warns
Securing China’s overseas assets has become more difficult in a time rife with geopolitical wrangling that continues to alter the world’s currency-use landscape, outspoken Yu Yongding says.
Explainer | From Raimondo to deflation: 4 things to look for in China’s economy in August
US Secretary of Commerce Gina Raimondo could soon visit China, while there is also a chance deflation risks will become a reality in China in August and the China-South Asia Expo will take place in Kunming.
Explainer | GDP worries, economic action plans: 7 things from China’s economy in July
Unemployment among China’s youth rose further in July, while gross domestic product data indicated a continued uneven post-pandemic recovery and US Treasury Secretary Janet Yellen made a high-profile visit.
As US rate hikes take a toll, will China’s central bank head face a key moment?
US Federal Reserve lifted interest rates to the highest level in 22 years on Wednesday, posing a challenge to China’s newly appointed central bank governor, Pan Gongsheng.