THE China Banking Regulatory Commission managed to keep local government credit risks and property loans under control last year, the commission said in its annual report released today.

By the end of 2011, total assets of Chinese banks increased 18.9 percent from the previous year to 113.3 trillion yuan (US$17.9 trillion). Total liabilities added 18.6 percent to 106.1 trillion yuan, said the banking regulator.

Both non-performing loans and their proportion to the total of loans decreased in 2011. NPL balance stood at 1.05 trillion yuan by the end of 2011, 190.4 billion yuan less than in 2010. NPL ratio dropped 0.66 percentage points to 1.77 percent, according to the report.

The commission said it successfully guarded China's banking sector against the systematic and regional risks last year and it will keep credit growth at a "reasonable pace" and continue to strengthen financial services for small businesses.

Source:shanghaidaily