Alicia García Herrero (Natixis) | Since the trade war, and in particular after the imposition of US tariffs on China’s electric vehicles and solar panels, market observers have been speculating whether the PBoC will allow further depreciation of the yuan to counteract the impact. The latest RMB movement seems to indicate that this is the case, but the actual situation is more complex than it appears at first glance.The experience…

Banca March | China has launched the third phase of the “Big Fund”, amounting to 344 billion yuan ($47.5 billion) dedicated to the development of semiconductors. This phase brings together the largest amount of the three phases: the first phase of 138.7 billion yuan in 2014 and the second phase of 204 billion yuan in 2019. The aim of this fund is to build an independent supply chain, after years…

Alicia García Herrero (Natixis) | China’s banking sector technically opened up to full foreign competition in late 2019, as an aftermath of the Trump-Xi meeting in Beijing in 2017. The formal announcement has hardly changed the situation of foreign banks operating in China, which have a small and decreasing market share as well as lower profitability than domestic peers. Lower foreign participation than peers Despite the further opening, the share…