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China debt crunch

Half of big Chinese banks cut lending to property sector

Regional lenders face rise in bad loans as housing market slumps

Chinese authorities have ordered debt-mired China Evergrande Group to demolish 39 residential buildings under construction in Hainan Province.   © Reuters

HONG KONG -- More than half of China's leading lenders reduced their exposure to the real estate sector last year, in a trend likely to exacerbate the cash squeeze for troubled developers. 

Outstanding loans to the industry decreased at the end of 2021 from a year ago at 17 out of 32 leading banks listed on the Hong Kong stock exchange. They include state-owned China CITIC Bank and China Minsheng Bank, the country's largest privately owned bank.

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