Monday, March 22, 2010

China Bank Lending

The total Chinese banks lending in Jan and Feb of 2010 has been around $ 300bn as per the reports of the People's Bank of China (PBOC), the central bank.

This is on the back of a $ 1.4 trillion lending in 2009 by Chinese banks.

Comparing this to our Indian Banking system. In India the total loan outstanding as on Feb 2010 is $ 650bn.

Lets ponder on this number and understand what ramifications this kind of credit in the economy can do. Will write on this later.

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