Ant Group-Backed Bank’s Bad Loan Ratio Jumps as Businesses Struggle

The online bank backed by fintech giant Ant Group Co. Ltd. reported another increase in its nonperforming loan (NPL) ratio last year, as China’s weak post-pandemic economic recovery hampered its shift away from consumer lending.

The key indicator of financial institutions’ asset quality rose to 2.28% at the end of last year at Zhejiang E-Commerce Bank Co. Ltd., widely known as MYbank, the lender’s annual report shows. That was up from 1.94% at the close of 2022 and 1.53% at the end of 2021.