As competition for deposits intensifies in the months ahead, one research house has bucked the trend by downgrading its outlook on the banking sector. It believes that competition for deposits could intensify towards year-end although pressure on net interest margins (NIMs) and operating expenditure may abate.
As Beijing’s tough stance on online credit persuaded Big Tech firms to scale back their services, smaller platforms have proliferated, luring young consumers into borrowing for a lifestyle they can ill afford.