Banks are China’s weakness


The Chinese banking system is very fragile due to the high incidence of Non Performing Loans, mostly due to the political pressure of giving credit to state-owned companies in difficulty and the poor commercial vocation of many banks. Beijing is now trying to take measures. On top of everything the banking system is set to open to foreign investments in 2007 and…

The Chinese banking system is very fragile due to the high incidence of Non Performing Loans, mostly due to the political pressure of giving credit to state-owned companies in difficulty and the poor commercial vocation of many banks. Beijing is now trying to take measures. On top of everything the banking system is set to open to foreign investments in 2007 and…

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