China’s grand Ponzi scheme could lead to the country’s financial collapse
More borrowers in China are taking on huge amounts of debt just to repay interest on other existing obligations, thus raising the risk of defaults and adding pressure on policymakers to keep financing costs low.[1] Dubbed “Ponzi finance” by the late US economist Hyman Minsky, using borrowed funds to repay interest is deemed to be an Read More
Dollar closer than ever to losing global reserve currency status as yuan gains IMF approval
The International Monetary Fund is expected to add the Chinese yuan (AKA the renminbi) to its “special drawing rights” currency basket alongside the US dollar, Japanese yen, British sterling and euro. If the IMF does indeed vote to include the yuan, it will signal a “significant milestone” for the country’s currency, according to insiders. Andrew Read More
