British debate on economic policy is getting nowhere. The coalition government keeps repeating that it has to cut spending in order to cut deficits, no matter what.
China expects more secure, supportive financial system Financial security is an important part of national security and a key foundation for stable and healthy development, Xi Jinping, general secretary of the Communist Party of China CPC Central Committee, told a recent group study attended by members of the Political Bureau of the CPC Central Committee.
If the Asian financial crisis and the sub-prime mortgage crisis are anything to go by, then the next cataclysm will come as a result of the failure of inadequate risk prevention, swiftly followed by a universal economic collapse and resultant social woes.
For China's central leadership, financial stability is the key to good governance. We must take a comprehensive approach to financial security and make good top-level design," said Zhou Xiaoquan, president of Central China Securities.
China's overall financial condition is good, and the leadership insists that financial risks are controllable, but there are plenty of them. Illegal lending, insider trading and fraud by insurance companies imperil financial market stability and put an unnecessary strain on economic transformation and structural upgrades.
Fan Yifei, deputy governor of the People's Bank of China has pointed out that cross-sector and cross-market risks are major obstacles on the road to stabilizing the financial industry. Minsheng's Wen sees asset management and products that span banking, securities, bonds and other fields need as areas that require particular care and innovative regulation.
Deng Ge, spokesperson for the China Securities Regulatory Commission, recently made it clear that the regulator will not hesitate to clamp down on illegal acts which jeopardize the market's smooth operation.
Xi has listed various tasks necessary to maintaining financial security, including more accountability, assured compliance, proper supervision and tough penalties for violators. The world over, supervision and regulation are at the center of financial market stability.
Supervision of systemically important institutions and infrastructure are vital to rational and effective risk prevention and control. Regulators must work more closely together and in a better coordinated manner to homogenize the rules.
Regulators must be as powerful, as well-organized and as smart as those they seek to regulate. Financial regulators are working on joint regulations to set basic standards that every institution -- commercial banks, trusts, fund managers, brokers, insurers -- must follow.
The real economy deserves excellent financial support.Financial Markets and Transparency One of the essential functions of financial markets is to price risk to support informed, efficient capital-allocation decisions.
"The resilience of the economy can be seen by the relatively high growth rate since the financial crisis back in , but now there is much more to tell behind the headline growth number," said Hu Angang, director of Center for China Studies of Tsinghua initiativeblog.com The global financial crisis, brewing for a while, really started to show its effects in the middle of and into Around the world stock markets have fallen, large financial institutions have collapsed or been bought out, and governments in even the wealthiest nations have had to come up with rescue packages to bail out their financial systems.
Global Debt: The Next Great Financial Crisis?
The challenge ahead for governments, especially the United States, is that while economic growth remains strong, they need to go on a debt diet. · Investing in Spain - A guide for Chinese Businesses 7 Institutional framework for attracting foreign investment to Spain 90 years, both countries have joined hands together to meet the financial crisis, which helped increase political mutual trust, expand cooperation in than the economy, and its contribution to China’s GDP will initiativeblog.com Before the global financial crisis, many Western banks took stakes in Chinese peers.
But most of the banks sold them after the crisis as global regulators tightened capital standards. The banks also found that their investments did not give them the solid foothold they had hoped for in initiativeblog.com