China's record consumer defaults undermine Beijing's push to boost spending
Published on: July 16, 2026, 11 a.m. | Source: The Economic Times
Chinese banks are reluctant to increase lending as bad loans rise. The government wants borrowing to boost consumption and economic growth. However, only those with poor credit are seeking new loans. Consumer loan defaults have reached record highs across the nation. This situation challenges Beijing's efforts to stimulate domestic demand.
