China Digest

Economics and policy from China’s newspapers

Tuesday March 14, 2017

Bitcoin bubbles too large, says PBOC official

The People’s Bank of China will crack down on bitcoin speculation to prevent bubbles, a PBOC official said in a Yicai report. Bitcoin bubbles had been too large previously, the PBOC’s business administration unit director Zhou Xuedong told national lawmakers in Beijing. Yicai.com said on Monday that Zhou briefed lawmakers on draft rules that will include guidance on preventing money laundering.

Xi’an sets reduction target on coal output

Xi’an, the capital of Shaanxi Province in central China aims to cut coal production by 1.7 million metric tons in 2017, Xinhua state news agency said on Monday. The city also plans to promote the use of natural gas to 20,000 families in rural areas.

US$391 billion worth of bonds issued in February

A total of 2.7 trillion yuan (US$391 billion) worth of bonds were issued in February, the People’s Bank of China said on Monday in a Yicai report. Of that total, 170 billion yuan was in government bonds, 278.6 billion yuan in financial bonds, 203.8 billion yuan in corporate bonds, the PBOC said. New bonds issued on the interbank market stood at 2.6 trillion yuan last month. The PBOC also said trade on the interbank bond market stood at 6.4 trillion yuan, rising 0.1% year on year.

Trading volume in currencies up 13.4% in February

The People’s Bank of China said currency market trading in February stood at a record 44.3 trillion yuan (US$ 6.41 trillion), a 13.4% increase from a year earlier.

High-speed train failure rate drops by 15% in 2016

China Railway Corp said the rate of failure in high-speed trains had dropped by 15%, Caixin reported on Monday. In a closed-door meeting, deputy general manager Li Wenxin said flaws in compartments accounted for 7.4% of total rail accidents last year and nearly 80% of them occurred due to a problem with production quality.