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STREAM / STRAND / STRING ... BANKING AND FINANCE
CENTRAL BANKS
The banking sector is underwritten by the unusual arrangements that are Central Banks
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Central Bank asset growth from 2006 to 2016
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The total was $5 trillion in 2006, rising to almost $17 trillion 10 years later. There is more 'money' in the world today than ever before, and hardly anyone in policy making leadership positions with any idea of what this really means.
The US Federal Reserve has increased the most on a percentage basis ... in large part because its financial sector had failed in the most dramatic way.
The People's Bank of China has increased the most on an absolute basis reflecting the massive size of the modern Chinese economy on top of a massive population.
Bank of Japan
Bank of England
Swiss National Bank
People's Bank of China
European Central Bank
Federal Reserve (USA)
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Central Banks' total assets as a % of total GDP
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By 2015 the total assets of the world’s six major central banks was equal to 36% of their combined GDP, a new all-time record high
This compared with only 14.3% of their combined GDP in May 2006, a decade before.
The 9 year median for this period was 26%!
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Individual Central Bank assets as a % of GDP
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The Swiss National Bank has the largest balance sheet as a percentage of GDP, with it currently up to 88.42% of GDP vs. 19.82% of GDP in May 2006.
The Bank of Japan’s balance sheet is equal to 70% of GDP vs. 24.27% of GDP in May 2006.
The US Federal Reserve’s balance sheet is equal to 25.41% of GDP vs. 6.17% of GDP in May 2006.
The European Central Bank’s balance sheet is equal to 24.99% of GDP vs. 12.52% of GDP in May 2006.
The Bank of England’s balance sheet is equal to 22.38% of GDP vs. 6.37% of GDP in May 2006.
In contrast:
the People's Bank of China's balance sheet has reduced to 52.92% of GDP vs. 56.31% of GDP in May 2006.
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