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Fitch: CN Banks' NIMs To Remain Pressured Next Yr
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Fitch Ratings' Director of Financial Institutions Ratings, Asia Pacific, Vivian Xue, predicted that Chinese banks' NIMs will remain under downward pressure in 2025 due to the drop in both loan volumes and prices.

There are still some regional and structural problems in the Chinese economy, such as real estate and credit cards, all of which have varying degrees of risk exposure, she highlighted.

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Although the recent policies of the mainland can appropriately reduce borrowers' repayment burden, the extent of improvement in the quality of the asset products will still hinge on the extent to which the new policy boosts the outlook for residents' employment and income, as well as the growth of the economy, opined Xue.
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