New lending by China's top four banks fall in Sept-paper

SHANGHAI, Oct 11 (Reuters) - China's top four state-ownedbanks extended 166 billion yuan ($26.42 billion) in new loans inSeptember, down from 220 billion yuan the previous month, the21st Century Business Herald reported on Thursday.

Citing unidentified sources, the paper said the reason forthe slowdown in lending was due to liquidity tightness at thequarter-end and after the central bank instructed some banks tostop selling commercial paper at discounts to raise fund.

China's "big four" banks are the Industrial and CommercialBank of China Ltd , China Construction BankCorp , Bank of China Ltd and Agricultural Bank of China Ltd .

They account for between 30 to 40 percent of total banklending in the world's second-largest economy.

A Reuters poll showed earlier this week overall new lendingtotalled 650 billion yuan last month, down from August'srobust 703.9 billion yuan though still sharply higher thanJuly's 540.1 billion yuan. The September data is expected to bereleased within the next few days.($1 = 6.2833 Chinese yuan)

(Reporting by Kazunori Takada and Chen Yixin; Editing byJacqueline Wong)


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