Sentences with phrase «in shadow banking»

Currently, about 85 % of foreign exchange operations in the country is carried out in the shadow banking sector.

The increase in gold premiums in China over spot gold prices in recent months may indicate Chinese investor anxiety over the election of Donald Trump or coincidently growing nervousness within China over the fragility of its financial system that is being tested with failures in the shadow banking sector.

A lot of risk has been pushed out of commercial banks and is now in the shadow banking system, where it is not as opaque as a commercial bank.»

Renewed efforts to rein in shadow banking by China's financial watchdogs began in earnest last year following the Communist Party's 19th National Congress in Beijing.

For example, heightened risk taking by investors and elevated leverage in large financial institutions and in shadow banking activities were among the factors that turned a downturn in the U.S. subprime mortgage market into a global financial crisis.

Such an outcome could prove to be a classic unintended consequence: Morneau's reforms — meant to reduce or contain the accumulated risk created by precipitously over-leveraged homebuyers — may unwittingly increase the overall systemic risk in the economy by driving red - lined borrowers to the sort of uninsured subprime mortgages that have proliferated in the shadow banking sector.

In particular, Clinton has said she wants to rein in the shadow banks, financial institutions that act like banks, but are not regulated as tightly.

Not exact matches

Now, thanks to tough new mortgage lending and insurance rules announced by federal Finance Minister Bill Morneau in October, some analysts predict that so - called «shadow banking» firms, which operate largely outside the purview of regulators, will see a surge of fresh business from frustrated homebuyers who can't get conventional loans.

Some observers predict that such borrowers will be forced to tap networks of small investors who lend through mortgage brokers, as well as mortgage investment corporations — in other words, the most remote corners of Canada's shadow banking sector, which accounts for 40 % of Canada's banking space.

Does shadow banking have a future in China when government policies towards the sector are so opaque?

In a recent interview with Bloomberg, Chu said Beijing had shown a «surprisingly high appetite for pain» while trying to curb some of the more egregious shadow - banking practices.

It goes like this: first of all, the bank is constantly scanning the horizon for smoke signals, looking for possible incipient trouble in big banks as well as the so - called «shadow banking system» (non-bank institutions that perform some bank - like functions) and trading information with other regulators.

Up to now, Champagne has worked in Morneau's shadow, helping develop policy ideas like the finance minister's infrastructure bank and investment hub.

An apparent recent victory in that push is new data suggesting that the growth in the risky «shadow banking» sector is slowing this year.

According to a recent Moody's report, broad shadow banking levels in China «barely grew» to 64.7 trillion yuan ($ 9.72 trillion) at the end of the first half of 2017 from 64.4 trillion yuan ($ 9.7 trillion) at the end of 2016.

Those debt concerns have led some to claim that shadow banking in the Chinese economy could eventually lead to a financial crisis if the bubble pops.

Earlier this month, Reuters calculations showed combined trust loans, entrusted loans and undiscounted bankers» acceptances — all common forms of shadow banking finance — fell to 107 billion yuan ($ 16 billion) in October from 396 billion yuan ($ 60 billion) in September.

In assessing China's shadow banking sector, Moody's determined that debt in the country was moving into «comparatively better regulated parts,» which improves transparency «and may increase the system's resilience to unexpected shocks.&raquIn assessing China's shadow banking sector, Moody's determined that debt in the country was moving into «comparatively better regulated parts,» which improves transparency «and may increase the system's resilience to unexpected shocks.&raquin the country was moving into «comparatively better regulated parts,» which improves transparency «and may increase the system's resilience to unexpected shocks.»

However, the growth in certain activities classified as «core» shadow banking accelerated to 18.2 percent from a year ago at the end of the third quarter of 2017, the reported added.

Broad shadow banking levels «barely grew» to 64.7 trillion Chinese yuan ($ 9.72 trillion) at the end of the first half of 2017 from 64.4 trillion yuan ($ 9.68 trillion) at the end of 2016, a Moody's report released in November showed.

Off - balance sheets activities have also slowed, with a recent Moody's report showing shadow banking «barely grew» from 64.4 trillion yuan in the first half of 2016 to 64.7 trillion yuan in the first six months of 2017.

That can provide hints on activity in China's vast and unregulated shadow banking sector, which authorities have also been targeting in their campaign to reduce systemic risks.

Esmail said that the emerging markets are in some sense reliant on China as an economic engine, and China's shadow banking crisis is the biggest risk to emerging markets, but valuation-wise the emerging markets are the most appealing part of global equities universe.

Risks in so - called shadow banking have somewhat eased, while non-performing loans are still at a relatively low level, the central bank said.

It was a time of sharply rising debt in China, and the risky shadow banking sector (i.e., off - balance sheet opaque lending) was growing rapidly, with few apparent controls.

Controls were put on lending by banks and on organisations in the non-bank financial sector (shadow banking).

He ran the China Banking Regulatory Commission's division overseeing the boom in China's trust products, investments considered part of the estimated $ 6.2 trillion shadow - banking system that Chinese officials have sought to bring under government cBanking Regulatory Commission's division overseeing the boom in China's trust products, investments considered part of the estimated $ 6.2 trillion shadow - banking system that Chinese officials have sought to bring under government cbanking system that Chinese officials have sought to bring under government control.

In addition, we think Chinese President Xi Jinping is likely to continue the government's crackdown on corruption and the shadow banking system.

A man's shadow casts over the logos of the Asian Development Bank (ADB)'s annual general meeting at the site in Yokohama

By Karen...

The turnaround is in part due to policy initiatives such as debt - for - equity swaps that helped the largest banks deal with rising debt loads, and a widespread crackdown by the government on shadow banking that has given them an edge over smaller peers.

A direct consequence of this growth was that the short - term liabilities associated with the shadow banking system — repos and commercial paper — exceeded the level of demand deposits as seen in Chart 3.

The shadow banking industry plays a critical role in meeting rising credit demand in the United States, and although it's been argued that shadow banking's disintermediation can increase economic efficiency, its operation outside of traditional banking regulations raises concerns over the systemic risk it may pose to the financial system.

There is also the crucial point that incomplete regulation which discriminates against banks in favor shadow banks may by undermine financial stability in two ways.

Subsequent to the subprime meltdown in 2008, the activities of the shadow banking system came under increasing scrutiny and regulations.

Despite the higher level of scrutiny of shadow banking institutions in the wake of the financial crisis, the sector has grown significantly.

A more narrow measure in the report, used to indicate shadow banking activity that may give rise to financial stability risks, grew to $ 34 trillion in 2015, up 3.2 % from the prior year and excluding data from China.

China's debt problems, in other words, can not be resolved administratively, by fixing the shadow banking system, by imposing discipline on borrowers, or indeed by eliminating financial repression (much of which, by the way, has already been squeezed out of the system by lower nominal GDP growth).

In response, the Fed reduced the federal funds rate to essentially zero by mid-December, instituted swap lines to provide dollar liquidity to foreign central banks, added new liquidity facilities to target specific sectors of the shadow banking system and began to expand its balance sheet through asset purchases.

Not sure of all the magnitudes but in the US and Europe off - balance sheet shadow banks reached enormous proportions.

Some argue that this demand for private money creation prompted the growth in «shadow banking» prior to the crisis.

Despite my strong affinity toward the asset management industry, I fear for the implication of regulators labeling it «shadow banking sector ``, i.e. asset managers who have stepped - in to fund projects and make loans as risk averse banks retreated.

The shadow banking literature has vastly and rapidly expanded since the financial crisis, and has produced some interesting pieces, as well as some exaggerated claims, in my view.

This was the year that Beijing was expected to step up its controls on unfettered lending, particularly in the so - called shadow banking area, as it seeks to contain a dangerous build up in debt across much of the economy.

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By June, moreover, Moody's estimated shadow - banking assets accounted for 83 percent of GDP, which is down from a peak of 87 percent recorded in 2016.

In China, the bulk of shadow banking revolves around complex lending practices being conducted by mid-tier banks and regional lenders looking to compete with the country's banking behemoths.

It is perhaps one of the main reasons as to why authorities have now moved definitively to curb shadow banking in the country.

In McCulley's talk, shadow banking referred mainly to nonbank financial institutions that engaged in what economists call maturity transformatioIn McCulley's talk, shadow banking referred mainly to nonbank financial institutions that engaged in what economists call maturity transformatioin what economists call maturity transformation.

The next bit of financial reform will have to increase oversight of the shadow banking sector (that is, institutions that in some ways operate like banks but have so far escaped stricter rules) and over-the-counter-derivatives, which are privately negotiated and have remained unregulated.

Canadians have amassed a $ 2 - trillion mountain of household debt that's casting a big shadow over the timing of the Bank of Canada's next interest rate hike, governor Stephen Poloz said in a speech Tuesday in Yellowknife.