Chinese Banks' Capital Adequacy Ratio Hits 11%

BEIJING, Jun. 29 -- The weighted average capital adequacy ratio of Chinese banks rose to 11.1 percent as of March 31 this year, from minus 2.98 percent at the end of 2003, Liu Mingkang, chairman of the China Banking Regulatory Commission (CBRC), said on June 26, 2010.

China's banking sector is under prudent supervision, and all Chinese banks meet CBRC's capital adequacy ratio requirement this year, said Liu at a financial forum in Shanghai.

"In accordance with the surging credit loans in 2009, the CBRC raised banks' bad loan coverage ration from 100 percent to 150 percent (to offset risks). Chinese banks' bad loan coverage ration was 170.2 percent by the end of the first quarter of this year," Liu said.