The chairman of Bank of China has dismissed suggestions that China could face its own banking crisis as a result of an unprecedented expansion of state-directed credit in the past two years.
“Some analysis and estimates from outside say there could be a financial crisis in China in the next few years,” Xiao Gang, chairman the country’s third-largest lender by market value, said on the sidelines of the annual National People’s Congress in Beijing.
“But I think the chances of a big increase in bad loans in the banking sector are very small.”
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