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Beijing is now trying to restrict lending and ease asset price inflation without setting off a slowdown.
A fifth of banks surveyed said that the need to raise their capital reserves had forced them to restrict lending.
Assertions that increased equity requirements would restrict lending and growth are based on flawed arguments that miss the key points.
As long as banks restrict lending while they strive to mend overstretched balance-sheets the economy will continue to wilt.
The Bank of England hit back shortly afterwards insisting that it any plans to restrict lending would not be accepted.
He suggested the bill would force banks to further restrict lending and absorb huge losses as the economy worsens.
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Then Bernanke criticized banks again, implicitly, by saying that they had restricted lending too much, making it hard for ordinary Americans to get a mortgage.
Business secretary Vince Cable has talked on several occasions about how the elimination of risk means restricted lending, at least in the short term.
Here in India, until recently home to the world's fastest-growing microcredit businesses, lending has slowed sharply since the state with the most microloans adopted a strict law restricting lending.
Seems Takeover Panel agees #dealoff May 20 , 2014Updated at 6.58pm BST 6.27pm BST Dharshini David of Sky News points out that the new mortgage affordability tests are already restricting lending, even before Lloyds income cap comes into play.
The Royal Bank of Scotland, which is 81% owned by the British taxpayer, has restricted lending to Russian companies across the board, while Dutch bank ING is also looking to reduce its Russian loan book.
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