Economics
China Credit Growth Slows to 2-Year Low on Debt Curb Concern
- Aggregate financing expanded by 487.9 billion yuan in July
- Broad M2 money supply increased 10.2%, less than estimated
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China’s broadest measure of new credit and another key gauge of lending increased at the slowest pace in two years, suggesting monetary authorities are more concerned about swelling financial risks than giving more of a boost to old growth engines.
Aggregate financing was 487.9 billion yuan ($73.4 billion) in July, compared with a median estimate of 1 trillion yuan in a Bloomberg survey of economists. New yuan loans stood at 463.6 billion yuan, versus a projected 850 billion yuan, the People’s Bank of China data showed Friday. Both increased by the least since July 2014. The broad M2 money supply increased 10.2 percent, the slowest pace since April 2015.