Non-performing loans are rising, prompting the Hong Kong banking industry to expedite the expansion of teams to quickly clear bad debt.

According to the Securities Times APP, the Hong Kong Monetary Authority has announced that by the end of 2025, the specific classification loan ratio of the Hong Kong banking system will increase to 2.01%. It is reported that bankers responsible for cleaning up non-performing assets are now no longer soft, and are increasingly resorting to extreme measures, including selling mortgage assets or forcing borrowers to liquidate their assets, with many reasons related to losses in Hong Kong's commercial real estate. Ruan Guoheng, deputy chief executive of the Hong Kong Monetary Authority, said that the main driving force for the recent increase in the specific classification loan ratio was the risk exposure associated with mainland private developers in the past, and now is the risk exposure associated with local commercial real estate developers or investors. This will be the focus of supervision this year.