Publication

This paper addresses the “shadow banking” system, referring to credit intermediation involving entities and activities outside the regular banking system, and the threat it poses to the global economy from the perspective of emerging markets, particularly China. More specifically, the author discusses 1) what the shadow banking system is and the threats it poses; 2) the progress that has been made by the international community in regulating shadow banking from the perspective of emerging markets; and 3) the relation between China’s regulation of shadow banking and that of that achieved through international coordination.