SHANGHAI — With protracted real estate woes pushing down lending rates, 80% of Chinese banks have seen their interest margins fall below the industry threshold for profitability, a Nikkei analysis shows, raising concerns over the sector’s stability.
Fifty-four of 58 commercial banks listed in mainland China and Hong Kong posted reduced interest margins compared with the previous fiscal year, according to the analysis, which evaluated financial results announced for the year ended December 2024.
