Fitch: Rating outlook for Chinese banks remains stable

The US-based ratings agency, Fitch ratings, is out with its latest review on the Chinese banking system, with the key points (via Reuters) found below.

Chinese banks face continued regulatory scrutiny in 2018.

‍Tight regulations on shadow, interbank activities consuming more bank capital & create drag on profitability in China.

Says ‍shadow and interbank activities will continue to face greater regulatory scrutiny in 2018 in China.

The rating outlook for Chinese banks remains stable.

Low internal capital generation amid high rwa growth could push down capitalisation in China.