China's Banks May Be Getting Creative About Hiding Their Losses

  • Lenders face 1 trillion yuan in potential losses: Commerzbank
  • Banks' shadow financing grew 25% in 2015: Sanford Bernstein

Chinese Banks Seen Hiding Losses in 'Opaque' Accounts

Chinese lenders are reacting to a regulatory crackdown on shadow financing by increasing activity in their more opaque receivables accounts, a practice Commerzbank AG estimates may result in losses of as much as 1 trillion yuan ($153 billion) over five years.

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