Five years ago, total domestic debt securities outstanding in China were less than half of those outstanding in countries such as France, Germany and Italy; today these markets are roughly all comparable in size.4 So it is not just the centre of gravity of economic activity that is shifting to Asia – the weight of financial assets is also shifting.
The Liquidity Coverage ratio stands at 250.6 per cent as at end-March 2021, well above the required level of 100 per cent. Ladies and gentlemen, what matters most, and especially for our CEOs of banks, is the fact that the banking sector continues to be profitable. Profitability enables banks to continue building buffers. Stress tests conducted by the Bank confirm that banks remain resilient.