China c.bank warns of risks ahead for banks

BEIJING Fri Sep 17, 2010 2:51pm IST

A woman walks in front of the headquarters of the central bank of the People's Republic of China in Beijing October 8, 2008.  REUTERS/Jason Lee/Files

A woman walks in front of the headquarters of the central bank of the People's Republic of China in Beijing October 8, 2008.

Credit: Reuters/Jason Lee/Files

Related Topics

BEIJING (Reuters) - Loan losses at Chinese banks could mount as the country's structural reforms accelerate, the central bank said on Friday.

In its financial stability report for 2010, the People's Bank of China also warned of a growing risk of asset bubbles and inflation.

The bank reaffirmed its appropriately loose monetary policy stance and said it would deploy various fiscal and monetary tools to manage inflationary expectations.

Turning to the global economy, the report warned of a potential sovereign debt crisis if major economies did not bring their budget deficits under control. Interest rates were likely to remain low for an extended period in many countries, it added.

(Reporting by Langi Chiang and Simon Rabinovitch; Writing by Alan Wheatley; Editing by Jonathan Hopfner)

(For more business news visit Reuters India)

FILED UNDER:
Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.

  • Most Popular
  • Most Shared

Market Eye

Sensex, Nifty rise to second consecutive record high

Sensex, Nifty rise to second consecutive record high

The BSE Sensex and Nifty on Friday rose to their second consecutive record highs. The 30-share Sensex surged as much as 1.52 percent to an all-time high of 27,762.13. The broader Nifty gained as much as 1.49 percent to a record of 8,291.65.  Full Article 

REUTERS SHOWCASE

Ban on E-Cigs?

Ban on E-Cigs?

Govt considers ban on e-cigarettes, sale of single smokes.  Full Article 

Commodities

Commodities

Silver futures in India hit four-year low on global cues.  Full Article 

BOJ Policy

BOJ Policy

BOJ shocks markets with surprise easing as inflation slows.  Full Article 

Cost Cutting

Cost Cutting

PM Narendra Modi boots officials out of the first class cabin  Full Article 

Leisure Riding

Leisure Riding

Harley-Davidson woos affluent young Indians with bike culture  Full Article 

Shadow Banking

Shadow Banking

China's shadow banking sector growing rapidly, third largest in world - FSB.  Full Article 

Moody's on India

Moody's on India

Moody's welcomes India's policy steps, but wants to see more.  Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device  Full Coverage