China’s banking regulator has called for more mergers between the country’s rural credit cooperatives (RCC) to reduce their high credit risks. Jiang Liming, deputy director of the China Banking Regulatory Commission’s cooperative finance supervision department said the purpose of mergers and acquisitions in the sector is to “dissolve the risks in China’s rural credit market [...]
Bank stress tests have shown that as much as 20% of loans by China’s commercial banks to state-owned enterprises (SOEs) could go bad, according to a report in Japan’s Nikkei newspaper. Nikkei quoted an unnamed China Banking Regulatory Commission (CBRC) official as saying 20% of all outstanding loans to SOEs failed to meet lending requirements, [...]
China’s banking regulator said Thursday that the stress tests it required for Chinese banks’ property credit do not reflect the government’s assessment of market trends or potential loan policy changes. The comments were intended to ease worries after property and bank shares dropped on news that lenders were testing the possible impact of a plunge [...]
Beijing’s policymakers have identified 1,457 unused plots of land, many which could be repossessed by the government, in a continued effort to crackdown on developers leaving sites idle for speculative land banking purposes. The Ministry of Land and Resources compiled a list of unused plots and the China Banking Regulatory Commission will conduct risk assessments [...]
The China Banking Regulatory Commission (CBRC) issued a statement saying that bank loans to local governments do not pose a systemic financial risk. The CBRC argued that local government credit risk can be contained by existing measures designed to secure repayment. However, the organization also stressed that local governments should get their finances in order. [...]
China’s banking regulator has told trust companies to cease cooperation with banks in a move to crack down on banks that move some loans off their balance sheets to avoid regulatory controls. According to an unnamed official at a trust firm, the China Banking Regulatory Commission warned about the growing volume of wealth-management products that [...]
China plans to have 1,027 banks open in China’s rural areas by 2011, an effort to provide wider access to financial services in the countryside. The announcement came after the China Banking Regulatory Commission said the majority of the 118 rural banks set up since 2006 had become profitable by June 30. China has relied [...]
The China Banking Regulatory Commission (CBRC) has warned Chinese banks to conduct thorough due diligence when issuing loans to foreign entities. Poor economic situations, political and social unrest, and a weakening currency could all lead foreign borrowers to default on debts, the regulator warned. Depending on the level of risk, China’s banks must set aside [...]
A top banking regulatory said China should not begin reducing policy support for the country’s real estate industry at this time, according to a report in the Securities Times. Li Fuan, head of the China Banking Regulatory Commission’s department of banking innovation, was quoted saying that the real estate industry is and will continue to [...]
The China Banking Regulatory Commission (CBRC) told large domestic banks to conduct quarterly stress tests on property loans. The announcement followed reports that China’s property and land prices continued to increase in the first quarter. Property prices in 70 cities set a record increase of 11.7% in March. China’s housing ministry added regulations on sales [...]
