Taiwan Central Bank Warns Lenders It May Act to Cool Property
- Authority asks banks for plans to control property lending
- Central bank says property should be 35%-36% of total loans
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Taiwan’s central bank announced broader efforts to get banks to cool their property lending, warning it’s prepared to take action if persuasion doesn’t work.
The monetary authority has met with 34 local lenders this month and told them to propose improvement plans by Sept. 6, it said in a statement. It will review the effects of the plans routinely and conduct on-site inspections, amid concerns that credit is excessively concentrated.