Growth in Chinese Loans for M&A but Boost is Unlikely

Chinese banks have lent out over $13 billion yuan in the past year in order to finance domestic M&A as well as another $400 million to finance international M&A. There are applications for loans currently processing for another $19 billion in domestic and $440 million in international M&A. However, we shouldn't expect this to mean a boom in M&A coming from China, the government and many banks consider M&A to be a dangerous and risky field.