China curbs lending, eases bond rules


Banking regulators in China will restrict lending by both domestic and foreign banks to 12% growth in 2008, compared with 15% last year, and will require banks to adhere to strict quarterly quotas, say bankers in Hong Kong. The development may exacerbate concentration exposures in bank lending books.

"The regulators have asked all banks to adhere to these levels and to be prudent in their lending," says KC Chan, managing director of Hong Kong-based Bank of East Asia. This means banks should be

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