China's M2 Money Supply Hits Record 240% of GDP, Highest Among Major Economies
China's M2 money supply has reached approximately 240% of GDP, the highest ratio among major economies, surging 100 percentage points since 2008.
China's M2 money supply has reached a record level of approximately 240% of GDP, the highest among any major economy globally. This metric has surged by 100 percentage points since the 2008 Financial Crisis. In dollar terms, China's M2 money supply has increased by 500% over the same period.
By comparison, Japan's M2-to-GDP ratio stands at around 185%, while the US ratio is roughly 70%. Meanwhile, China's gold reserves and total foreign exchange reserves have risen by 100% and 60%, respectively, during this period.
This monetary expansion is unprecedented among major economies, according to the source.
Source: The Kobeissi Letter