Policy Notes

“The size of the shadow banking system grew to 46 trillion RMB ($7.5 trillion) in 2013, and was driven by trust products and wealth management products, which maintained 10.9 and 10.24 trillion RMB in assets under management, respectively.”

“Banks that operate as public utilities can direct credit to where it best serves the needs of local economies. Such banks have no need to worry about maintaining their market shares, gambling with depositors’ money, or going bankrupt.”