China Chart: Tracking China’s Debt

Chinese banks were at it again in June with another steep increase in the amount of lending. New renminbi loans increased by $200 billion, no doubt a large portion of it going to the state sector, and China’s broader measure of credit, total social finance, expanded by almost $300 billion. With President Xi calling for “stronger, better, bigger” state-owned enterprises, don’t be surprised to see the recent trend of disproportionate investment and lending going to the state over the private secto

Source: Peterson Institute (PIIE)