In The News

Caixin: China to Roll Out Red Carpet for Foreign Financial Firms

Peng Qinqin, Wu Hongyuran, Zhang Yu, Yang Qiaoling and Han Wei November 21, 2017
China may do more to open its financial industry to foreign investors, lifting ownership caps for banks as well as securities, funds, and futures industries, according to a team from Caixin. “Sixteen years after China agreed to liberalize foreign access to its financial sector as part of its World Trade Organization accession commitments, overseas investors still complain about barriers...

Asia Sentinel: Pakistan’s Costly Plunge Into China Debt

Salman Rafi Sheikh October 4, 2017
The Asian International Investment Bank and other Chinese banks finance One Belt One Road projects in developing nations – with more funding than from the World Bank or the Asian Development Bank combined. “While Pakistan has been receiving Chinese capital in the form of aid and loans for quite some time, the speed and scale have both increased in the wake of implementation of the China-Pakistan...

Reuters: Globalization's Castaways Haunt Central Bankers

Jonathan Spicer and Howard Schneider August 24, 2017
Central bankers insist that open borders and free trade contribute to national and individual prosperity. Yet at the US Federal Reserve research conference in Jackson Hole, Wyoming, bankers and economists acknowledge a challenge for the elderly, the poor, the uneducated, and the workers who lose their jobs due to technological advances and competition within their own country or beyond – anyone...

Global Finance: Trade Winds Shifting

Jonathan Gregson August 5, 2017
After years of stagnation, international trade growth is anticipated at 4 percent this year. “Many factors could explain what appears to be a secular decline in global trade: lower levels of business confidence and investment; demand cycles and their impact on commodity prices; the maturing of global value chains, which have in turn triggered structural changes in the composition of cross-border...

The Economist: Unintended Effects of Rules Aimed at Stopping Financial Crimes

August 3, 2017
As the old saying goes, everyone pays the cost of crime. Costs include direct losses and indirect regulations. The Economist explains that banks are “lending less and shedding customers” due to “strict new rules on capital and liquidity” and avoiding high-risk customers and sectors. Poorest nations are most affected. “Banks in Africa, eastern Europe, Latin America and the Caribbean have been...

Reuters: Closer Hong Kong, China Ties Create Corporate Governance Challenges

Michelle Price July 4, 2017
The long-term sustainability of “two systems” for one country – China and Hong Kong – was always in question, especially as the two markets have increasingly integrated. A rout in small-cap stocks may signal concerns about financial regulatoin, explains Michelle Price for Reuters. “The sell-off has raised questions over Hong Kong's ability to enforce its rules, as the territory's...

Paris Innovation Review: New Silk Road as a New Worldview?

Hervé Machenaud June 7, 2017
Representatives of about 100 nations participated in China’s New Silk Road Forum in May. Some in the West express concerns about the Silk Road initiative and the companion Asian Infrastructure Investment Bank. China has invested in developing its own infrastructure and now hopes to do the same for developing nations while increasing its own expertise spreading good will. The projects have...