The earthquake protection gap facing China’s commercial banks: on shaky grounds
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Earthquakes happen frequently in China, and like all businesses, commercial banks are exposed to associated losses.
The latest Expertise Publication from the Swiss Re Institute raises the question of whether enough is being done to help commercial banks in China protect themselves from all the risks that earthquakes pose.
Depending on the locations of their credit assets, some banks could be susceptible to very large earnings hits in the event of a major earthquake, and many may not realise how vulnerable they are.