US Financial Crisis Impact on China

Today, I received a letter form Marianne Wong who is a college student from Vancouver, BC, Canada. She is doing research topic on the impacts that the US Financial Crisis has on China. She want to find out more information and hope I can offer some useful information. The main body of my reply as follows:

On 22 September, China Construction Bank, CITIC Bank, Minsheng Bank disclosed the amount of bond of Lehman Brothers.

So far, there has been ICBC, Bank of China, Construction Bank, Bank of Communications, China Merchants Bank, CITIC Industrial Bank hold the assets of Lehman. The total bond is a level of about 7.2164 billion U.S. dollars.

However, the amount of bond holded by these banks held by the banks accounted for a very low percentage of their total assets, about less than 0.01 percent. In addition, because of China government principle, China's financial market is relatively closed, the globalization is less than other countries.

So, I think US financial crisis have a little impact on China.

If you are interested in this topic, please leave your opinions on the comments or contact Marianne directly. Her e-mail is marianne.wong@hotmail.com. Thank you!

Originally Posted: China Business Daily
Author: Angulo Fu