Yu Weiwen: The credit risk of commercial real estate loans in Hong Kong can be controlled. Setting up a "bad debt bank" is not in line with the soundness of banks.

According to the Zhixingu financial APP, Hong Kong Monetary Authority Chief Executive Eddie Yue pointed out in an article recently that the specific classification loan ratio of Hong Kong banks at the end of the second quarter was 1.97%, compared with 1.98% at the end of March. The ratio still faces upward pressure, with one of the main reasons being commercial real estate credit. He emphasized that the HKMA has always closely monitored the overall sound development of the Hong Kong banking industry, believing that the credit risk of commercial real estate loans is controllable. He also mentioned that setting up a "bad bank" is completely unsuitable for the current situation of Hong Kong banks, which operate soundly and have strong financial strength.