China to Add Capital at Big Banks for First Time in a Decade
- China’s biggest banks are struggling with record low margins
- China unveiled cuts to mortgage rates, big stimulus blitz
China is planning to recapitalize its biggest commercial lenders for the first time in more than a decade, in a bid to strengthen the industry battling with record low margins, sinking profits and rising bad debt.
At a rare press conference on Tuesday, authorities flagged they will increase the core tier 1 capital at its six major commercial banks, along with a slew of other measures to shore up the real estate market and the economy.