{"id":4223,"date":"2023-08-19T07:30:31","date_gmt":"2023-08-19T05:30:31","guid":{"rendered":"https:\/\/www.dhcab.com\/?p=4223"},"modified":"2023-08-19T07:30:31","modified_gmt":"2023-08-19T05:30:31","slug":"chinas-hidden-financial-dangers-emerge-in-shadow-banking-crisis","status":"publish","type":"post","link":"https:\/\/www.dhcab.com\/?p=4223","title":{"rendered":"China&#8217;s hidden financial dangers emerge in shadow banking crisis"},"content":{"rendered":"<div class=\"postie-post\">\n<div>\n<div dir=\"auto\">Until a week ago, Zhongzhi Enterprise Group was little noticed in China and barely mentioned elsewhere.<\/p>\n<p>Shadow banking giant Zhongzhi \u2013 a private management company with more than $137 billion in assets \u2013 has now become the latest symbol of financial instability in the world&#8217;s second largest economy, where investor, business and consumer confidence is plummeting.<\/p>\n<p>Zhongzhi and its subsidiary trust companies are now under intense scrutiny after halting payments to thousands of clients.<\/p>\n<p>Its trusts alone, despite operating in the shadows, account for about 10% of all loans in China, and as word of Zhongzhi&#8217;s problems spread, Chinese assets began to plunge, sending the yuan to a 16-year low.<\/p>\n<p>The turmoil presents another challenge for Xi Jinping&#8217;s government, which already faces a weak economy, a real estate sell-off and rising geopolitical tensions.<\/p>\n<p>China&#8217;s regulators have already formed a task force to prevent the contagion from spreading.<\/p>\n<p>Analysts warn that the potential asset sales that could follow could further put pressure on broader markets.<\/p><\/div>\n<\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Until a week ago, Zhongzhi Enterprise Group was little noticed in China and barely mentioned elsewhere. Shadow banking giant Zhongzhi \u2013 a private management company with more than $137 billion in assets \u2013 has now become the latest symbol of financial instability in the world&#8217;s second largest economy, where investor, business and consumer confidence is [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":4224,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[25],"tags":[],"class_list":["post-4223","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-global-issues"],"_links":{"self":[{"href":"https:\/\/www.dhcab.com\/index.php?rest_route=\/wp\/v2\/posts\/4223","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.dhcab.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.dhcab.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.dhcab.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.dhcab.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=4223"}],"version-history":[{"count":0,"href":"https:\/\/www.dhcab.com\/index.php?rest_route=\/wp\/v2\/posts\/4223\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.dhcab.com\/index.php?rest_route=\/wp\/v2\/media\/4224"}],"wp:attachment":[{"href":"https:\/\/www.dhcab.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=4223"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.dhcab.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=4223"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.dhcab.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=4223"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}