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2 China banks' bad-loan buffer below par

China Construction Bank has reported a loan-loss coverage ratio below the regulatory minimum of 150 per cent of existing non-performing loans in its third-quarter earnings.


TWO of China's biggest banks, Industrial & Commercial Bank of China Ltd and China Construction Bank Corp, are testing their regulator's tolerance by protecting profits at the expense of bad-loan buffers.

ICBC and China Construction Bank both reported loan-loss coverage...