China's Troubled Credit Swells to Sweden-Sized $628 Billion
- Banks' profit growth for first 9 months slumps to 2% from 13%
- Latest bank data coincides with Shanshui Cement debt crisis
Marble lion sits in front of China Banking Regulatory Commission (CBRC) building.
Photographer: Zhang Peng/LightRocket via Getty ImagesThis article is for subscribers only.
Chinese banks’ troubled loans swelled to almost 4 trillion yuan ($628 billion) by the end of September, more than the gross domestic product of Sweden, according to figures released by the industry regulator.
Banks’ profit growth slumped to 2 percent in the first nine months from 13 percent a year earlier, according to data released on Thursday night by the China Banking Regulatory Commission.