BEIJING May 15 Chinese banks' non-performing
loan ratio edged up to 1.04 percent at the end of March, a shade
higher than the 1 percent at the end of last December, the
country's bank regulator said on Thursday.
The weighted average capital adequacy ratio of Chinese banks
fell slightly to 12.13 percent as of the end of the first
quarter, from 12.19 percent at the end of December, the China
Banking Regulatory Commission said in a statement on its
In general, a higher capital adequacy ratio is seen as good
for the financial system as lenders have more cash to cover the
cost of unforeseen risks, benefiting depositors. The downside
for investors is that a high ratio could crimp profitability.
(Reporting by China Economics Team)