“Finance is the lifeblood of the modern economy” has become something of a stock phrase for Chinese policymakers over recent years, uttered most recently by Xi Jinping as part of his speech to the Belt and Road Forum in Beijing in mid May. Although this sounds like a capitalist mantra, what precisely might be meant by this phrase requires more in-depth understanding of China’s economy and its financial system. At the heart of that system still lie China’s banks, in spite of the rapid emergence of other financial institutions and instruments over the last decade.
While the brightness of China’s economic and geopolitical future is a subject of recurring debate, the prospects for the “China book” industry seem undiminished. Toh Han Shih’s recent Is China an Empire? is, the title notwithstanding, one of the more straightforward and restrained entrants.
Anyone who wishes to opine on Hong Kong’s perceived troubled present and possibly fraught future would do well to read Richard Wong’s Fixing Inequality in Hong Kong first.
The changing balance between Asia and the West is a function not just of the relative rise of the Asian economies but also of the apparent withdrawal of the United States from a multi-decade commitment to global leadership, a development which if anything seems to be accelerating under the only recently-installed Trump administration. One place where these two factors coincide dramatically is Latin America, a region that the United States has long considered—somewhat patronizingly, perhaps—as its backyard.