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Page last updated at 16:57 GMT, Thursday, 21 May 2009 17:57 UK

China 'could face banking crisis'

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China has a potential banking crisis in the making, according to a new report by the credit agency Fitch Ratings.

One Fitch analyst claims that the country's lenders are engaging in excessive risk-taking, which could lead to major losses on corporate loans. The banks are setting money aside for bad loans, but reserves may not be enough.

Nigel Cassidy reports.

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