China's banks handle record 3.13 trln yuan of non-performing assets in 2021

Aerial photo taken on June 21, 2018 shows the morning view of the Lujiazui area in Pudong, east China's Shanghai. (Xinhua/Ren Long)

BEIJING, Feb. 8 (Xinhua) -- China's banking sector handled 3.13 trillion yuan (about 492.4 billion U.S. dollars) worth of non-performing assets last year, effectively reducing credit risks, official data showed.

The figure saw an increase by 0.11 trillion yuan from a year ago, a record high, according to the China Banking and Insurance Regulatory Commission.

During the 2017-2021 period, China's banks handled 11.9 trillion yuan worth of non-performing assets, which surpassed the aggregate of 12 years prior to the period and served as a key backstop against systemic financial risks, the commission said.

Warning against the possibility of bad loans resurging amid COVID-19 strains and economic headwinds, the commission urged banks to strengthen oversight over the quality of their assets.