Rise in bad loans at mainland banks no threat to profits

The level of non-performing loans is expected to keep rising at mainland banks, but analysts say the relatively slow pace is unlikely to weigh on their profits this year.

The average non-performing loan ratio of the nine banks listed in Hong Kong was expected to edge up in the third quarter to 0.98 per cent from the second quarter, Macquarie analysts said in a report, while the overdue loan ratio would remain stable at 1.32 per cent of total loans.

via Business feed http://www.scmp.com/business/banking-finance/article/1065383/rise-bad-loans-mainland-banks-no-threat-profits