Banking stocks in the region suffered steep losses yesterday amid concerns that recent fundraising in the Japanese sector could spread to China.
In Hong Kong, Bank of China dropped 4 per cent to HK$4.62 after saying it was examining “various options” to replenish capital after advancing more loans in the first nine months of the year than any other Chinese lender.
According to reports, China's banking regulator wants big state lenders to raise their capital adequacy ratios.
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