, Columnist
Chinese Banks Are Just Fine, Really
Capital buffers may be thin but that doesn't mean there's a blowup on the horizon.
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Chinese banks have several problems. Make that many problems, and they're big. Yet, for all the negative headlines, the country's financial system isn't anywhere near imploding and in many respects is more robust than some developed nations.
Lenders in Asia's largest economy harbor vast amounts of debt, which doesn't do wonders for their capital buffers. Considering how fast nonperforming loans are rising, banks' capital positions probably aren't adequate.