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MNI BRIEF: China's Bank Regulator Confident Amid Property Woes

MNI (BEIJING)
MNI (Beijing)

China’s banking regulator is concerned about the property sector but is confident the exposure of its banks is low, said Xiao Yuanqi, Vice Chairman of the China Banking and Insurance Regulatory Commision.

Exposure to property accounts for 26% of banking sector loans and is mainly home mortgage loans, which are of high quality and have a rate of default of around 0.1%, Xiao said, speaking at an event in Hong Kong.

Fang Xinghai, Vice Chairman of the China Securities Regulatory Commission, told the same event that China’s capital market would mature by increasing foreign participation. The new mainland treasury bond futures scheme was viewed as evidence of Hong Kong’s role in facilitating links between China and the international economy.

MNI Beijing Bureau | lewis.porylo@marketnews.com
MNI Beijing Bureau | lewis.porylo@marketnews.com

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