Type to search

China Banks See Bad Property Loans Piling Up – Nikkei

Banks have started to dial back their exposure to the ailing sector with total real estate loans rising just 3.3% this year while overall lending rose 7.9%

Country Garden financial situation is under a cloud as more debts must be repaid in coming weeks.
Country Garden's landmark East China Center Building in Zhenjiang, Jiangsu province is seen in this AFP file photo.


Chinese banks have seen a 27% surge in non-performing loans (NPLs) to the country’s ailing property sector since the end of last year, according to analysis by Nikkei Asia.

Real estate sector NPLs now make up 12.3% of the banks’ total bad loans, up 2% points this year so far and of the of the 46 mainland banks surveyed, the report went on, 22 saw their NPL share to the sector rise by double-digits in the last eight months.

Full story: Nikkei Asia


  • By Sean O’Meara


Read more:

China Property Bonds Being Shunned Over Default Danger

China Banks, Officials Resisting Beijing’s Property Rescue Call

China Property Service Groups Hurt by Parents’ Debt Woes

Asia-Focused Funds Snared by Deepening China Property Crisis



Sean O'Meara

Sean O'Meara is an Editor at Asia Financial. He has been a newspaper man for more than 30 years, working at local, regional and national titles in the UK as a writer, sub-editor, page designer and print editor. A football, cricket and rugby fan, he has a particular interest in sports finance.


AF China Bond