The world economy has navigated turbulent waters in recent years, with challenges including a global pandemic, post-pandemic economic woes, geopolitical tensions, trade fragmentation, and rising financial stress. Major powers have responded by engaging in substantial over-issuance of currency, experts told NTD’s “Pinnacle View” program last week. However, the central bank policies may be aggravating global economic uncertainty.
China’s M2, the broadest measurement of money supply, has grown consistently over the past decade, reaching almost 300 trillion yuan—nearly 41.6 trillion U.S. dollars—at present. That amount is almost equal to the combined M2 supply of the United States, Europe, and Japan. The People’s Bank of China, China’s monetary authority, issued more than 11.9 trillion yuan ($1.64 trillion) last year—a record amount.
