Groundless to Rehash the Old Line——China Saves the World

Triggered by the Standard & Poor's downgrading of the United States' credit rating,fears over the US debt crisis are increasingly rippling across the globe.While on the other side of the Atlantic,the eurozone debt crisis threatens to spread from Greece to Italy and Spain, casting gloomy shadow over the economic recovery of Europe. At this desperate moment,once again     

英文摘要

Top 100 Chinese Foreign Trade Cities The global economy dwindled again in 2011. The debt crisis in the euro zone kept spreading. Thanks to the economic stimulus taken in 2009, some countries have been trying their best to tackle the fluidity surplus. The emerging markets were also troubled. BRICs,     

The Coming Resolution of the European Crisis

Doom and gloom about the euro abounds.An increasing number of commentators and economists,including here at the Peterson Institute,have begun to question whether the common currency can survive. The economic and financial problems in the euro area are clearly serious and plentiful.The area is in the midst of multiple,frequently overlapping,and mutually reinforcing crises.A fiscal crisis is centered on Greece but visible across the southern euro area and Ireland.A competitiveness crisis is manifest in large and persistent pre-crisis current account deficits in the euro area periphery and even larger intra-euro area current account imbalances.A banking crisis was first evident in Ireland but is now spreading throughout the area via accelerating concerns over sovereign solvencies.     

How Will U.S. Credit Downgrade Affect China?

August 5 is an unusual day,when Standard & Poor's cut the U.S. credit rating by a notch to AA-plus in an unprecedented blow citing concerns over the nation's budget deficits and climbing debt burden,adding the freshly passed debt reduction plan by U.S.Congress wasn't enough to stabilize the country's debt situation. The agency remains negative on the outlook of the new credit rat-     

S&P Downgrade Positive for China's Stock Market in the Long Run

The Standard & Poor's(S&P) rating agency announced Friday night(August 5) that it has downgraded the U.S.debt from a stellar AAA rating by a notch to AA+,and lowered the outlook on the new U.S.credit rating to negative, indicating that another downgrade was possible within one year or two.After the downgrade,it was largely expected     

Expert Views

The U.S.debt crisis warns China to reduce its foreign reserve Tne downgrading of the U.S.'s credit rating by the Standard & Poor is a good thing,which delivers a heavy blow against the deficit budget policy. It reminds people that there is no free lunch in the world and also highlights the rating agency's independence.It also makes us realize the urgency of balancing the international payments and reducing foreign reserves.     

The Role of China in the European Debt Crisis

G20 finance ministers' meeting closed at the end of this February focusing on how to effectively prevent the deterioration of European sovereign debt crisis and calling for the "self-help" of euro.Greece is the current focus of the media attention,but seen from     

G20 Financial Officials Discuss Global Economy in Busan

In September 2009 the Group of Twenty （G20） took over the Group of Eight （G8） as a premier forum ,for international economic cooperation at the Pittsburgh Summit. The first achievement of the new forum, a “Framework for Strong, Sustainable, and Balanced Growth＂, would be tested and improved in the G20 meetings in June 2010. Considering the escalating debt crisis in the euro zone since this spring and calls for getting rid of the weaknesses of the financial regulatory system, the G20 assumed the responsibility to formulate global strategies to keep economic recovery on track and lead world economies and financial systems to get away from the mess in a more prudential and skillful way.     

How Will the Sovereign Debt Crisis Influence China?

If we use one phrase to generalize the world's real economy in 2011,the most appropriate one might be the sovereign debt crisis.As this crisis is going on,some European countries still have an extremely high debt-to-GDP ratio,which has hit 159％ in Greece,120% in Italy and exceeded 100％ in Portugal,Ireland and Spain.Even in some better-off countries like Germany,this ratio still hits more than 80％.Comparatively,the ratio for the U.S.is about 100％ and for Japan it reaches as high as 250％.     

The Locals' Opportunity Under Foreign Banks' Expansion

The global financial crisis is striking the international financial market severely. Since July 2007, foreign banks and brokers have been suffering an enormous loss caused by the financial crisis. More than 160 thousand jobs have been cut this year by financial institutions like Citibank, HSBC and Morgan Stanly, etc. However, what shows a strong contrast with global job cutting is that these foreign banks are rapidly expanding their business in China. According to the data of related market,seven foreign banks have opened more than nine new branches in two months after September 17, the day that Lehman Brothers filed for bankruptcy protection. November 17, HSBC issued China UnionPay debt cards in 17 cities of China. At the same time, several new services of foreign banks were supposed to be authorized by CBRC (China Banking Regulatory Commission), including loan corporation of Citibank and credit cards of BEA.     

EU Seeks Strategic Partnership with China

The European Union is seeking closer cooperation with China in the context of stagnant world economy and its sovereign debt crisis.     

United States - The Downgrade Scenario

Summary The US debt-ceiling negotiations in Washington are showing little progress as the 2 August deadline approaches.Based on the latest proposals under discussion, the chances of a debt-ceiling hike which also incorporates USD 4trn worth of deficit cuts over the next decade are slim.This is important, as it means that S&P is likely to downgrade the US sovereign rating from AAA to AA, even if the debt ceiling is raised.Note that in an interview with Dow Jones, one of S&P's credit analysts said that to avoid a downgrade, the US needs to agree to reduce the fiscal deficit by over USD 4tm over the next ten years.This is what S&P sees as the required amount to prevent the total government debt-to-GDP ratio from rising.Therefore, a debt-ceiling deal with deficit cuts falling short of this could mean a downgrade by at least one of the three key rating agencies.     

China to Be Alert to Four Uncertainties

Stock market crash is really coming? On August 8,affected by the downgrading of the U.S.sovereign credit rating and other negative factors,the Shanghai stock market dropped over a hundred points intraday, falling below 2,500 points just like what it did a year ago,and individual shares collectively reached decline limit. Asia-Pacific stock markets also suffered Black Monday,with a num-     

Euro Area——Fiscal Squeeze,Export Boost

Some euro-area countries face a sharp fiscal squeeze- but they are in the minority Low real interest rates and a more competitive euro should benefit the core group of countries We expect the ECB to stay on hold until Q2-2011 and have lowered our 2011 growth forecast     

Fresh Air in Real Estate Policies

Recently, due to the international financial crisis, the decline in domestic economic growth and in the real estate market, the central and local governments have issued a series of policies and measures designed to stimulate the real estate industry. On the one hand, the central government starts stimulating the real estate market by tax relief, relaxation of credit and security housing construction. On the other hand, with the support of the central government, more and more local governments have implemented their own new real estate policies in order to promote the recovery of the local market.     

SMES＇FINANCING,Hard Nut to Be Cracked？

Small and medium-sized enterprises （SMEs） are a crucial driving force for innovation, employment and development and the engines of growth in an economy. But as the sector is characterized by information asymmetries and high processing costs, banks are reluetam to lend to SMEs, which have long faced difficulties in financing. Amid capital depletion, risk aversion and credit contraction in the current global economic crisis, the issue of financing for SMEs is a pressing issue for all natlons, which is not exceptional to China.     

Global Entrepreneur Summit 2011 Wrapped Up in Beijing

The year 2011 turns out to be a tough year for global economic recovery with 2012 facing the alternative challenge of political and economic cycle.Developed countries are struggling to deal with sovereign debt crisis.At the same time,emerging countries are trying to find their independent development path.How to achieve rebalance between developed countries and emerging markets has become a core issue that secures stable global economic growth.     

Can export rebate increase help China＇s textile industry to warm up？

China continued to see a slowdown in export of textiles and garments in the first eight months of this year, due largely to weak demand resulting from economic downturn in the euro zone and the United States, the General Administration of Customs said on September 13.     

SMES' FINANCING, Hard Nut to Be Cracked?

Small and medium-sized enterprises (SMEs) are a crucial driving force for innovation,employment and development and the engines of growth in an economy. But as the sector is characterized by information asymmetries and high processing costs, banks are reluctant to lend to SMEs, which have long faced difficulties in financing. Amid capital depletion, risk aversion and credit contraction in the current global economic crisis, the issue of financing for SMEs isa pressing issue for all nations, which isnot exceptional to China.     

Growth in China′s textile,clothing exports continues to slow down

China continued to see a slowdown in export of textiles and garments in the first eight months of this year,due largely to weak demand resulting from economic downturn in the euro zone and the United States,the General Administration of Customs said on Sep- tember 13.