Hong Kong Monetary Authority: No intention to establish the rumored "bad bank"

According to the website of Radio Television Hong Kong on 17 July, a spokesperson for the Hong Kong Monetary Authority stated that there is no intention to establish the rumored "bad bank," and that no relevant banks have such a plan. The spokesperson emphasized that the HKMA has always required banks to prudently manage credit risks, and that overall, the balance sheets of Hong Kong banks are healthy, credit risks are manageable, provisions are adequate, the banks' credit provision coverage ratio exceeds 140%, profits are good, and there is no basis for the rumors.