BIS gives alternative view on China's outflows

London

PERSISTENT capital outflows from China since mid-2014 were probably driven more by local companies paying down their dollar-denominated debt - in anticipation of a stronger US currency - than investors ditching assets, according to the Bank for International Settlements.

The outpouring of China's currency "led to two different narratives", researchers for the Switzerland-based institution said in a report on Sunday. "One tells a story of investors…