(Yicai Global) Aug. 11 -- China's commercial banks' bad loans ratio stayed at 1.75 percent in the second quarter, same as the first quarter, bringing 11 quarters of continuous increases to an end.
Commercial banks' outstanding non-performing loans in the second quarter rose CNY45.2 billion (USD6.8 billion) from the first quarter to CNY1.44 trillion (USD216.84 billion). Downside pressure on the Chinese economy and overcapacity in traditional industries has led to an increase in non-performing loans at Chinese banks.
Commercial banks posted a net profit of CNY899.1 billion in the first half, up 3.17 percent from the same period last year, according to the China Banking Regulatory Commission.
The data is based on a survey of large-scale, share-holding, urban, rural and foreign China-based commercial banks published by the CBRC.
The bad debt ratio is defined by international rating agency Moody's as loans overdue for more than 90 days, compared to total outstanding loans.