Analysts at Societe Generale SA wrote in his regular report that Chinese banks may suffer losses amount to 8 trillion yuan. The authorities certainly save drowning all costs - based on AMarkets.
But other data. According to the IMF, the Chinese banking sector loaned $ 1.3 trillion to individuals who obviously have no means to repay the interest.
Against this background, the Chinese regulator allowed banks to issue securities worth $ 7.6 trillion. Already in the Bank of China Ltd. last week and China Merchants Bank Co. bonded offered interbank market instruments, linked to non-performing loans in the amount of 534 million yuan. This is the first such issue since 2008.
In this case the regulator Beijing welcomes foreign financial institutions to actively invested in a new tool.American billionaire Wilbur Ross is about to invest in the Chinese "bad" bonds. It relies, in its decision, including on confidence Moody's Investors Service - the experts promise that the Chinese authorities have all the tools to prevent the financial crisis.