Loans Up 160%, Deposits up 16% in February
Submitted by Bill Belew on Wednesday, 14 March 2007No Comment
Chinese lenders shelled out 413.8 billion in RMB loans in Feb, up from 264.7 billion from last year.
Meanwhile, China had more money to work with as RMB and foreign deposits were up 15.5% over last year.
Wage increases and bonuses received during the Spring Festival are the contributers to the deposit increase.
With more than 35.8 trillion yuan in the bank, the lenders have to do something with it.
Why not lend it to people who can't repay? I mean…if they did repay the loan and with interest…the coffers would just keep growing.
Isn't there a point when an institution has enough money that they could just lend it with little to no interest?
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