China’s non-performing loans have stabilized and the pressure from capital outflows has eased as the nation’s economic recovery takes hold, said Deputy Central Bank Governor Yi Gang. “NPLs are getting pretty much stabilized after a long time of climbing,” Yi said at the International Finance & Infrastructure Forum at Bloomberg’s headquarters in New York. “Capital outflow pressure has been alleviated recently, but still we have to watch that kind of phenomenon.” China’s NPL ratio declined in the fourth quarter for the first time since 2012, suggesting the steady loan losses over much of the first half of the decade may finally be easing. China’s four biggest banks posted higher-than-forecast profit last month as provisions for souring loans held steady. Foreign reserves rose in February and March after policy makers burnt almost $1 trillion since 2014 to defend the currency.