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Stock impact report

Some Chinese banks hike consumer loan rates in abrupt reversal as bad debt risks mount [Globe and Mail, The (Toronto, Canada)]

ING Group, N.V. (ING) 
US:NYSE Investor Relations: ing.com/investor-relations.htm
Florence Lo/Reuters Some Chinese banks have started raising interest rates amid growing bad consumer loans in a dramatic U-turn just weeks after slashing them to unprecedented lows, a move that is expected to weigh on Beijing’s efforts to stimulate a sluggish economy. Banks including China Construction Bank, China Merchants Bank, Bank of China, and Hua Xia Bank have raised rates on consumer loans to at least 3 per cent, according to bank officials and online applications. The new rates come into effect from Tuesday. Just last month, banks cut rates to a record low of about 2.5 per cent, in response to Beijing’s push to expand consumer credit and boost demand to revive its $18-trillion economy, especially as trade tensions with the U.S. intensified. China’s leadership has identified spurring consumption as a priority to achieve a roughly 5 per cent growth target for 2025. China’s biggest state-owned banks said on Sunday they plan to raise a combined 520 billion yuan ($71.54-billio Show less Read more
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