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Chinese Banks Lowering Bad Loan Provisions To Release Funds: Daily

CHINA PRESS
MNI (Singapore)

Large banks in China are expected to lower provision coverage ratios to release more funds to support the real economy, the Economic Information Daily reported citing analysts. Funds released can be used to increase write-offs of non-performing loans and boost credit supply, the newspaper said citing Ming Ming, chief economist of CITIC Securities. Ten listed banks have already cut the ratio in Q1, with China Merchants Bank making the largest cut by 21.19 percentage points to 462.68%, the newspaper said.

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