China Company Borrowing Slumps, Rates Spike, Beige Book Says
- Survey paints grimmer picture of credit than official data
- Unmet borrowing demand rises in first quarter as rates climb
This article is for subscribers only.
Borrowing by Chinese businesses plunged in the first quarter and interest rates on loans surged to a record despite the central bank’s efforts to encourage more lending, according to China Beige Book International.
Only 16% of the companies surveyed by CBBI, a provider of independent economic data, applied for loans in the first three months of 2022, the lowest since the quarterly poll began in 2012, according to a report published Tuesday.