Categories
Banking & Finance

New NPL rules raise costs

Foreign investors in China's non-performing loan market will have to pay the full amount for loan purchases in one lump payment starting April 1, the South China Morning Post reported, citing a joint statement by the National Development and Reform Commission and the State Administration of Foreign Exchange. The move will dramatically increase the cost of such deals because overseas investors will no longer be able to buy and sell NPLs while deferring the full cost, as is the current practice.

Leave a Reply

Discover more from China Economic Review

Subscribe now to keep reading and get access to the full archive.

Continue reading