From Stress to Growth: Strengthening Asia's Financial Systems in a Post-Crisis World

Asian financial systems, which serve the most economically dynamic region of the world, survived the global economic crisis of the last several years. The book examines such phenomena as the dominance of state-owned banks, the growth of nonbank lending (the so-called shadow banks), and the need to develop local bond markets, new financial centers, and stronger supervisory tools to prevent dangerous real estate asset bubbles. The People's Republic of China's (PRC) large financial system is discussed at length, with emphasis on concerns that PRC's system has grown too fast, that it is overly tilted toward corporate borrowing, and that state domination has led to overly easy credit to state-owned actors. Asia needs investment to improve its infrastructure and carry out technological innovation, but the book argues that the region's financial systems face challenges in meeting that need.

This publication edited by Marcus Noland and Donghyun Park has been copublished with Peterson Institute for International Economics. For orders, please contact: http://bookstore.piie.com/book-store/6994.html