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Chinese banks challenged to fill half-trillion TLAC capital gap

The Big Four banks, long weaned off domestic depositors and friendly local investors to fund their lending, now have to toe the line globally
Tuesday, December 1, 2015 - 05:50
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In a Nov 24 report, Moody's says the shortfall among China's global systemically important banks, or G-SIBs, such as the Bank of China, will be US$553b. This is far more than the US$115b in TLAC needed for US banks and the US$201b for European banks.

Hong Kong

CHINA'S four largest lenders face starkly higher funding costs as a result of global rules designed to prevent a collapse of banks deemed too big to fail.

Having relied so far on domestic depositors and friendly local investors to fund their lending, the Big Four will

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