A top official of China’s central bank is predicting explosive growth in securitization over the next five years as the country faces an urgent need to securitize massive volumes of bank loans to stimulate financial sectors. Liu Shiyu, a vice governor of the People’s Bank of China, estimates that China’s asset-backed securities and mortgage-backed securities could surge to ¥3 trillion ($460.7 billion), roughly 45 times its current level.
