China’s Rural Bank Smash – WSJ

One objections of bank depositors in Henan Province was raped. Meanwhile, homebuyers with mortgages – but unfinished apartments – across China are making noise about payment pause. For a seriously struggling Chinese economy, these are eye-opening headlines.

The problems in Henan are partly about a discrete case of financial malfeasance – an investigation by China’s banking regulators has found that a private investment group called Henan New Wealth Group has been illegal deposit extraction from small banks. But they come against an extremely unsettling backdrop. Property prices in China’s small cities are falling rapidly. Developers, unable to access financing and watching their sales dry up, have halted construction of many pre-sold homes — and the online movement to halt mortgage payments threatens to cripple increase their woes by corrupting the banks. All of this comes after many of China’s small lenders have seen their capital adequacy drop sharply over the past half-decade.

Source link


News7F: Update the world's latest breaking news online of the day, breaking news, politics, society today, international mainstream news .Updated news 24/7: Entertainment, the World everyday world. Hot news, images, video clips that are updated quickly and reliably

Related Articles

Back to top button