IDEAS home Printed from https://ideas.repec.org/a/wsi/serxxx/v68y2023i03ns0217590822500680.html
   My bibliography  Save this article

Multidimensional Perspective Of Financial Risk Analysis: Evidence From China

Author

Listed:
  • YUNXIA TAN

    (Evergrowing Bank Co., Ltd., 250014 Jinan, P. R. China)

  • HAFEEZ ULLAH

    (�Antai College of Economics and Management, Shanghai Jiaotong University, 200000 Shanghai, P. R. China)

  • XIAOYUE CHENG

    (��College of Management, Ocean University of China, 266100 Qingdao, P. R. China)

  • FAN ZHANG

    (�College of Accounting, Henan University of Economics and Law, 45000, Zhengzhou, P. R. China)

  • ZHUQUAN WANG

    (��College of Management, Ocean University of China, 266100 Qingdao, P. R. China‡China Business Working Capital Management Research Center, 266100 Qingdao, P. R. China)

Abstract

China faces a critical economic structural transformation with increasing financial instability and uncertainty, necessitating a greater need for accurate measurement of systemic financial risk. In the paper, this work analyses the systemic financial risk in China between 2011 and 2020 based on financial development, fragility and risk indicators and the world economy to construct a comprehensive index of systemic financial risk (CISFR). The results show an upward trend in China’s financial risk in the past 10 years and a mid-to-high level fluctuation in the past five years, mainly driven by risks in the banking system, securities market and real estate market. In 2021–2022, China’s financial system is still in a high-risk stage, and high systemic risks are still an important economic issue. The study’s comprehensive index method can be extended to emerging economies. It reflects the main driving factors of financial risk by assigning weights to basic indicators from a multidimensional perspective, thus providing a reference for policymakers to prevent and control financial risk.

Suggested Citation

  • Yunxia Tan & Hafeez Ullah & Xiaoyue Cheng & Fan Zhang & Zhuquan Wang, 2023. "Multidimensional Perspective Of Financial Risk Analysis: Evidence From China," The Singapore Economic Review (SER), World Scientific Publishing Co. Pte. Ltd., vol. 68(03), pages 841-866, June.
    • Handle: RePEc:wsi:serxxx:v:68:y:2023:i:03:n:s0217590822500680
    DOI: 10.1142/S0217590822500680
    as

    Download full text from publisher

    File URL: http://www.worldscientific.com/doi/abs/10.1142/S0217590822500680
    Download Restriction: Access to full text is restricted to subscribers
    File URL: https://libkey.io/10.1142/S0217590822500680?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:wsi:serxxx:v:68:y:2023:i:03:n:s0217590822500680. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Tai Tone Lim (email available below). General contact details of provider: http://www.worldscinet.com/ser/ser.shtml .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.