Shen, Wei --- "China's puzzling banking and shadow banking sectors after the global financial crisis" [2020] ELECD 222; in Arner, W. Douglas; Wan, Yee Wai; Godwin, Andrew; Shen, Wei; Gibson, Evan (eds), "Research Handbook on Asian Financial Law" (Edward Elgar Publishing, 2020) 293

Book Title: Research Handbook on Asian Financial Law

Editor(s): Arner, W. Douglas; Wan, Yee Wai; Godwin, Andrew; Shen, Wei; Gibson, Evan

Publisher: Edward Elgar Publishing

Section: Chapter 16

Section Title: China’s puzzling banking and shadow banking sectors after the global financial crisis

Author(s): Shen, Wei

Number of pages: 22

Abstract/Description:

Chinese banks appear to be freed from the recent financial crisis. While their counterparts in Western countries are suffering from the financial crisis, Chinese banks have been able to cement their positions in the market place. Nevertheless, an in-depth look at the Chinese banks’ lending practices indicates that Chinese banks are also encountering some critical problems such as policy-oriented lending and lending irregularities, which have resulted in a booming shadow banking sector including but not limited to the local governments’ debt crisis. This chapter not only looks into these problems by reference to the path dependency theory but also some related regulatory and policy initiatives.