For all the fears of bad loans and impending doom at Chinese banks, their latest earnings failed to live up to such doubts.
Over the past week, most of the country’s big banks reported net profit increases in 2011 of 25-30 per cent – strong growth by international standards, though par for the course in China in recent years.
Many investors believe that Chinese banks will eventually face a day of reckoning after embarking on a record lending spree during the global financial crisis, when they were called on by the government to hand out credit to propel the economy.
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