Improvements For Chinese MPA
In order to reduce financial risks and rising debt without any harm to economic growth, Chinese government is considering adding shadow banking, property financing and internet financing into the MPA (macro-prudential assessment). That is, the Bank of China might introduce interbank certificates of deposit and green credit in macro-prudential assessment reviews. Chinese financial deleveraging helped in boosting currency rates, bond yields and corporate funding costs, and in 2017 M2 money supply growth dropped to the minimum of 8.2%, shy off the 12% aim. Bank of China is trying to maintain firm Yuan and at the same time to avoid risks to financial stability, that are seriously pressing the country.