Tighter Regulation Pushes Up Bad Loan Ratios Of Chinese Commercial Banks

Chinese commercial banks reported much higher non-performing loans at the end of May, as the effect of tighter regulations on bad loan classification is gradually kicking in. Chinese banks reported non-performing loans of RMB1.9 trillion (US$293 billion), or a NPL ratio of 1.9%, at the end of May, according to data released by the China Banking and Insurance Regulatory Commission.

China Cinda Uses Tech To Expands Non-Performing Loan Sales

China Cinda Asset Management Co., Ltd,one of China’s Big Four AMCs (Asset Management Company), saw its non-performing asset business grew 29.6% in 2017 to RMB135.5 billion (US$21 billion). Revenues from non-performing assets management expanded faster, up 41.2% year-on-year in 2017 to RMB45.3 billion (US$7 billion), according to its annual report.

PwC’s Victor Jong Says "Learning Curve Is Steep" For Chinese Debt Restructuring Participants

Victor Jong, Partner, Advisory Services, PwC, is based in Shanghai and has practiced in the insolvency and corporate reorganization field since 1994. He transferred to PwC’s Shanghai office in 2004 to develop the restructuring and insolvency practice in mainland China. He has advised on numerous debt restructurings, distressed investments, receiverships and liquidation assignments in the Greater China region.

Gaw Capital Enters Distressed Real Estate Sector With $1B New Fund With Country Garden Unit

Hong Kong-based private real estate investment firm Gaw Capital has teamed up with Shenzhen Paladin Asset Management, the investment arm of one of the largest Chinese property developers, Country Garden Group,to jointly launch a US$1 billion special situations fund to invest in distressed real estate projects in China, Gaw Capital confirms to China Money Network.

China’s AVIC Capital To Jointly Set Up $1.58B Local "Bad Bank" In Chengdu

AVIC Capital Co., Ltd., a financial services provider controlled by the Aviation Industry Corporation of China, Ltd, announced that it will partner with one of the country’s Big Four state-owned asset managers China Great Wall Asset Management Co. and other financial institutions to set up a RMB10 billion (US$1.58 billion) local "bad bank" in Chengdu city.