ANBOUND: Financial Regulations should not Neglect China's Economic Weakness
ANBOUND
The real economy issues have now become China's economic weakness. ANBOUND highlighted that the social financing scale has shrunk in the first quarter and the raise in general loan interest is a challenge to the capital chain of real economy that spread to other regions and industries along the supply chain and company mutual insurance system. In addition, the pressure could swift from formal financial industry to private loan. Therefore, too much focus on the partial risk and neglected systemic risk of traditional regulation policies need to be adjusted.