Skip to content
Subscriber Only
Business
Economics

China Banks See Margins Squeezed by Efforts to Spur Economy

  • Biggest firms have increased riskier loans to small companies
  • First-half profits at some lenders missed analyst estimates
China Citic Bank and China Construction Bank Ahead Of Earnings
Photographer: Qilai Shen/Bloomberg
Updated on

Terms of Trade is a daily newsletter that untangles a world embroiled in trade wars. Sign up here

China’s biggest banks responded to government demands to help spur a slowing economy. The cost of their efforts has been disappointing profits and shrinking loan margins.