China 

China has done its part to rectify global balances. It’s time for the US to step up

The traditional wisdom about the global economic imbalance is that the United States has overspent while China has saved too much and that this imbalance was a prime cause for the global financial crisis a decade earlier. A decade later, China’s part of the excess has been largely fixed while the US part of the imbalance remains. China’s external position, measured by its current account balance, is “in line with fundamentals and desired policies”, according to the latest external sector… Source link

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Global 

China imports worth US$250 billion a step closer to 30 per cent tariff as US moves ahead with Trump’s plan

The United States has early steps to increase import tariffs on US$250 billion of Chinese goods to 30 per cent from the start of October, indicating that at least for now, the Trump administration has no plans to step back from its plan to escalate further its trade war with China.The office of the US Trade Representative (USTR) on Thursday published a notice in the US Federal Register – the official record of US government administrative actions – inviting comments from stakeholders ahead of… Source link

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Home 

China has taken a key step towards interest rate and monetary system reform, but caution will rule

The People’s Bank of China (PBOC) is pushing banks to link lending rates to its loan prime rate, an important move towards refining the country’s monetary system and unifying the dual-track interest rate regime.China has long had two tracks of interest rates. One track, consisting of money market rates and long-term bond yields, generally moves in line with market forces but could be influenced by the central bank’s open-market operations and monetary policy communication. The other track… Source link

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Vietnam 

Banks step up bad debt recovery in 2019 – Economy – Vietnam News | Politics, Business, Economy, Society, Life, Sports

    Sacombank headquarters in Hà Nội. Sacombank recovered bad debts worth more than VNĐ11 trillion (US$472 million) in H1 2019. Photo Sacombank HÀ NỘI – Some banks have recovered trillions of Vietnamese đồng in bad debt by selling off assets secured with non-performing loans in the first half of 2019. According to a representative of Sacombank, the lender has recovered bad debts worth more than VNĐ11 trillion (US$472 million) in the first half of the year, making a total of nearly VNĐ35.7 trillion since it started restructuring bad debts two years…

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Non-banking lenders step in to meet Australian property market’s funding requirements

Australia’s property market is seeing nonbank debt providers step in to plug a hole in funding left by big banks, whose lending is being hobbled by increased regulatory pressures and higher capital requirements.The pullback by banks leaves a gap in funding needs that is expected to increase to A$50 billion (US$35 billion) by 2023, according to MaxCap Group, an Australia and New Zealand commercial real-estate debt specialist. Melbourne-based MaxCap has more than A$2 billion of deals that it will… Source link

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Home 

Chinese carmakers step up their role as automotive industry investors, adding to China’s sway as world’s largest vehicle market

China has long been a key market for global automotive manufacturers. Now the country is asserting its role as an investor in the industry, stepping up the pace of purchases in the car and heavy-truck sector.The latest foray: state-backed Beijing Automotive Group is buying a 5 per cent stake in Daimler, the maker of Mercedes-Benz.The announcement caps an increasingly active period for deals – of the major transactions where a Chinese company bought a stake in a non-Chinese automotive firm since… Source link

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Vietnam 

Foreign finance institutions step up expansion plans in Việt Nam – Economy – Vietnam News | Politics, Business, Economy, Society, Life, Sports

  A branch of Shinhan Bank Vietnam in Hà Nội. The central bank approved the South Korean bank’s move to increase its charter capital from VNĐ4.55 trillion to VNĐ5.71 trillion. — Photo Shinhan Bank Vietnam Thu Hà HÀ NỘI — The competition in the Vietnamese finance and banking market has become fiercer as existing foreign institutions are rushing to increase capital even as new entrants continually join the market. This week alone, the State Bank of Việt Nam announced it had approved capital increases for Public Bank Vietnam Limited and Shinhan…

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China 

Facebook’s Libra forcing China to step up plans for its own cryptocurrency, says central bank official

Facebook’s plans to create its own cryptocurrency have forced China’s central bank into stepping up research into creating its own digital currency as Libra could potentially pose a challenge to Chinese cross-border payments, monetary policy and even financial sovereignty, a People’s Bank of China official said on Monday.“If [Libra] is widely used for payments, cross-border payments in particular, would it be able to function like money and accordingly have a large influence on monetary policy,… Source link

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Facebook’s Libra cryptocurrency may spell bad news for Hong Kong and mainland payment services – if regulators don’t step in first

The internet is buzzing after Facebook’s announcement of its new blockchain and cryptocurrency project, Libra – the company’s attempt to break into the global payments space and establish itself as a major player. The new currency will be managed by the Libra Association, a Switzerland-based non-profit organisation which will include many other members. Facebook also announced a digital wallet application, Calibra, where users buy, sell and trade the token.Use of the terms “blockchain” and … Source link

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