Crisis traverses financial system: HKMA's Yam

The boundaries of the global credit crunch go beyond the markets, with the falls in house prices sparking significant slumps in aggregate demand, said Joseph Yam, the chief executive of the Hong Kong Monetary Authority.

"I would stress that the crisis goes beyond the financial system," Yam said in an exclusive interview with Central Banking journal, published on Monday. "The sharp contraction in housing is having an even more direct negative impact on household consumption and combined with th