Overall Debt Leverage Hasn't Come Down in China, Says Fitch Ratings

The video discusses the impact of regulatory tightening on interbank liquidity, particularly affecting smaller banks in China. It explores the balance between monetary policy and macro prudential measures as part of China's deleveraging campaign. The challenges of shadow banking and its implications for economic growth are highlighted. The China Credit Impulse is analyzed, showing a slowdown in credit expansion and potential economic risks. The video concludes with a discussion on deleveraging efforts and possible policy adjustments in response to economic conditions.

What concerns arise from the slowing credit expansion in China?

What is the significance of the regulations put in place over the past 18 months?