The Conference Board uses cookies to improve our website, enhance your experience, and deliver relevant messages and offers about our products. Detailed information on the use of cookies on this site is provided in our cookie policy. For more information on how The Conference Board collects and uses personal data, please visit our privacy policy. By continuing to use this Site or by clicking "OK", you consent to the use of cookies. 
China Center Chart of the Week: Rise in interbank lending highlights China’s liquidity risks

This China Center members-only chart shows the Chinese banking system’s monthly new claims on the corporate and household sectors (i.e. loans into the real economy) as well as new claims on depository corporations and financial institutions (i.e. interbank lending). Recently, turnover in interbank lending has risen rapidly, regularly outpacing credit creation in the real economy by a substantial amount. Additionally, lending in the interbank market has become increasingly volatile, mirroring recent movements in the deposit base.

While the sheer size of growth in the interbank market is daunting, the large monthly turnover is potentially even more dangerous.  Please download the full chart for a complete explanation.

China Center Publications (1 pgs)
Members: Sign in to see if this product is complimentary with your membership.
Non-members: Not available
(Email us to learn more about membership