Wealth management products have become enormously popular in China. In 2016, the business was worth $4.4 trillion. The assets promise high returns, but authorities say the potential losses could be huge.
The global emergency lender sees the world economy on a robust growth path in the coming two years. However, that outlook faces a severe risk if trade tensions between the US and China escalate in the month ahead.
International Monetary Fund (IMF) Managing Director Christine Lagarde believes China's "Belt and Road" is a good idea, but she also warned about saddling countries involved in the project with too much debt.
China's finance minister has said Beijing is fully confident of its capacity to avoid systemic debt risks. The remark came as international organizations including the IMF kept warning of the country's ballooning debt.
Opening the sessions of the two global lenders, IMF chief Christine Lagarde has warned governments about harming global trade and investment through unilateral measures even when disagreements exist.
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