Bank of Communications has just released a new research report predicting a sound performance on the part of the Chinese banking sector in 2019.
The research report forecasts growth in net profits for the Chinese banking sector of 6.8% in 2019, as compared to a projection of 7.1% for 2018.
Risk in relation to highly leveraged real estate companies and non-compliant debt could have an adverse impact upon the asset quality of Chinese commercial banks, although BoC forecasts a non-performing loan ratio of under 2% next year, as compared to 1.9% for 2018.
