China Macroeconomics & Academia

Christopher Balding

Macroeconomics

<p>China credit data came out and there is evidence, with a number of important caveats, that China is making progress in deleveraging campaign.  The primary area where China is making progress is in the broadly defined shadow banking sector.</p><p>If begin by looking at a broad metric of credit, total social financing, as we can see in Figure 1, there was a rapid slow down in new credit generated.</p><figure class="editor-figure mceNonEditable"><img src="https://static-prod.smartkarma.com/images/media/000/049/808/original/Figure%201.png?1523953040" class="editor-image img-responsive" data-smartkarma-image-id="49808"></figure><div class="content-caption">Figure 1</div><p>The 19% drop is one of the largest drops for TSF in new growth in Q1 2018 from Q1 2017 is one of the…</p>

China credit data came out and there is evidence, with a number of important caveats, that China is making progress in deleveraging campaign.  The primary area where China is making progress is in the broadly defined shadow banking sector.If begin by looking at a broad metric of credit, total social financing, as we can see in Figure 1, there was a rapid slow down in new credit generated.Figure 1The 19% drop is one of the largest drops for TSF in new growth in Q1 2018 from Q1 2017 is one of the…

China Making Some Progress Deleveraging