The world has a lending problem. If anyone has learnt anything from the credit crunch in America, it would be that financial institutions should lend carefully. Carefully with a capital C. Appearently that is not what Chinese lenders are taking into consideration. According to
a recent report by Standard & Poor's Rating Services yesterday, the rate of non-performing loans in China's banking industry has significantly risen over the past year. No doubt that they will be pressured by the government and state-owned companies alike to maintain the quality of their assets or risk the booming economy.
