China’s Banks Are Hiding More Than $2 Trillion in Loans
Accounting sleight of hand means banks don’t have to set aside capital for potential losses, sowing fears of a crisis; new apartments with no residents
an “investment receivable,” a loosely regulated category of assets that allows bank officials to set aside little or nothing for potential losses... As of June, 32 publicly traded Chinese banks had a total of $2 trillion in investment receivables as of June, up from $334 billion at the end of 2011