China commercial lenders expand investment banking operations
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The universal banking model, under pressure and deemed to be broken in much of the world, is finding favour in China as traditional lending businesses slow.
Last month, three of China’s four largest banks reported annual declines in fourth-quarter earnings for the first time since 2009. As elsewhere, clouds are gathering: in addition to tougher capital requirementsChinese lenders have to deal with interest-rate deregulation and rising bad loans on the back of an economic slowdown.
That is driving banks to look elsewhere for income, says Zeng Gang, director of bank research at the Chinese Academy of Social Sciences’ Institute of Finance and Banking…
China commercial lenders expand investment banking operations
