Sentosa is first island destination in Asia recognised for championing sustainability

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SINGAPORE: Sentosa is the first island destination in Asia to be recognised globally for championing sustainability. In a press statement on Tuesday (Aug 16), Sentosa Development Corporation (SDC) said that it has been conferred the Global Sustainable Tourism Council – For Destinations certificate. Sentosa joins 23 other certified sustainable destinationContinue Reading

China’s liquidity trap growing deep and wide

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The People's Bank of China is is unlikely to resort to a “flood-like” wave of monetary stimulus next year. Photo: iStock

For years, economists debated whether China might go the way of Japan. Though the jury is still out, Beijing is displaying Tokyo-like symptoms in at least one alarming respect: a liquidity trap.

No central bank demonstrates John Maynard Keynes’ warning about getting caught in the monetary mud more than the Bank of Japan. For 20 years now, the BOJ’s wheels have spun faster and faster in a frantic effort to escape deflation.

China doesn’t yet face a lost decade. And Asia’s biggest economy might very well avoid one altogether. But the People’s Bank of China (PBOC) confronts a monetary traction problem just as the economy faces a convergence of headwinds.

With data suggesting a marked economic growth downshift, the PBOC announced a surprise rate cut on August 15. Governor Yi Gang reduced the rate on the PBOC’s one-year loans by 10 basis points to 2.75% and trimmed the seven-day reverse repo rate to 2%.

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The post China’s liquidity trap growing deep and wide appeared first on Asia Times.

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