Summary
In the wake of the 2009 credit boom, trends in Chinese bank loan growth have been
increasingly under the spotlight. Bank credit rose 33% in 2009 (to 140% of GDP at
year‐end), and is on pace for another brisk year in 2010. With GDP growth now back
in double‐digits, Chinese policymakers have been grappling with how to rein in the
credit‐fuelled stimulus before it leads to overheating, without overshooting.