Mizuho's Shen Sees 2H Shadow Banking Crackdown in China

The video discusses China's economic growth in 2017, highlighting a GDP target of over 6.5% driven by strong exports, investment, and consumption. Despite positive growth, concerns about cheap credit and mounting risks are noted. The government has begun tightening policies, particularly in the housing market, but fiscal stimulus remains. A recent financial conference emphasized cracking down on shadow banking to manage debt levels.

What were the main drivers of China's GDP growth in the first half of 2017?

• Technology and healthcare

• Real estate and manufacturing

• Tourism and agriculture

• Exports, investment, and consumption

How did the Chinese government respond to the strong economic data in terms of policy?

• By tightening housing policies

• By increasing public spending

• By increasing taxes

• By reducing interest rates

What was the impact of fiscal stimulus on China's economy despite rising interest rates?

• It resulted in a housing market crash

• It caused a decline in consumption

• It led to a decrease in exports

• It maintained strong investment and consumption

What was a key focus of the Chinese financial work conference?

• Increasing foreign investments

• Cracking down on shadow banking

• Enhancing agricultural output

• Promoting tourism

What is one of the government's strategies to reduce debt in local governments and companies?

• Encouraging more foreign loans

• Reducing borrowing by insurance and security companies

• Increasing energy subsidies

• Expanding the housing market