Managing China risk



A big problem for Chinese banks is their highly decentralised branch networks across the country, with top management often having little control over regional branches that decide their own credit policies. This results in bank branches making loans that are non-viable, and which are a major contributor to non-performing loans in China, says Dirk Chan-Mueller, managing director of BearingPoint in Shanghai, where the firm's China headquarters is located. Chan-Mueller also co-leads the firm's

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