Reuters

China's largest banks feel wind in their sails as profits rebound

China's largest banks feel wind in their sails as profits rebound

  • March 28, 2018
  • min read

Reuters

China's largest banks feel wind in their sails as profits rebound

Over the past decade, small and mid-sized banks had been raking in more profits through aggressive lending via shadow-banking channels. But the tide has turned, with core banking emerging as winner from the regulatory clampdown.

“The banks that will do well this year are those that have national franchises, “safe” brands, relatively clean balance sheets, competitive products, sticky core deposits and strong credit skills,” said John Ott, partner with Bain & Company and a leader with its Greater China financial services practice.