BEIJING Hydro Flask Sport Cap Ireland , Jan. 18 (Xinhua) -- China's foreign exchange reserve grew 129.4 billion U.S. dollars in 2017 to reach 3.1399 trillion U.S. dollars at the end of last year, the country's forex regulator said Thursday.
The country has seen a consecutive rise in forex reserve for 11 months from February to December, according to the State Administration of Foreign Exchange (SAFE).
BERLIN, Nov. 29 (Xinhua) -- A booming economy and low interestrates in Germany may mask underlying weakness in the country'sfinancial system and lead to an overestimate of debt capacity, theGerman central bank (Bundesbank) warned Wednesday.
In its financial stability report, the Bundesbank warned of agrowing risk of complacency among German policymakers, investors,and consumers after an economic momentum that's been going strongfor eight years.
The Bundesbank is hence less upbeat than the European CentralBank (ECB) about financial stability. According to the ECB,economic stress factors throughout the eurozone declined in thepast six months thanks to a spreading recovery.
Nevertheless, both the Frankfurt-based central banks share fearssurrounding the poor performance of financial institutions andtheir related ability to cope with a sudden shock.
The Bundesbank noted that even though banks had been forced tobuild up much larger capital reserves in the wake of the financialcrisis, there was still reason to believe that preparations forpotential credit defaults were insufficient. Small and mid-sizedbanks in particular could face difficulties if interest rates wereto rise abruptly from their current extremely-low level.
Furthermore, risks of re-evaluations, interest rate changes andcredit defaults could materialize simultaneously and reinforce eachother.
Bundesbank director Andreas Dombret told a press conference thatthe Bundesbank was monitoring the risk posed by an interest ratehike "very carefully".
Only recently, the German Council of Economic Experts identified"clear signs" that the German economy was approaching the limits ofits capacity. The development was seen as raising the likelihood ofirrational lending and investing patterns which could ultimatelycause a recession when a resulting bubble pops.
Regarding German real estate, the Bundesbank saw no bubbledespite a steep rise in prices. The central bank pointed out,however, that housing cost in some German cities is up to 30percent higher than appropriate. Enditem
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