In the first half of 2017, Chinese banks' asset quality improved, as did their funding profile, said a report Moody's Investors Service sent to the Global Times on Monday.
The results were in line with China's more stable macroeconomic environment, as well as the government's tightened risk-control regulations that have curtailed some shadow banking and interbank activities, said the report.
Moody's also pointed out that banks' narrower net interest margins in the first half may pressure their profitability.
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