China is edging toward what could be its first credit downturn in decades
, as personal-loan delinquencies in the country climb during the coronavirus pandemic.
In recent weeks, executives at some Chinese banks and online lending platforms said more consumers have fallen behind on their credit-card and loan payments, which could snowball into higher defaults in the coming months. Some lenders have reduced loan originations as a result, despite regulators’ calls to keep credit flowing across the economy.
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