SINGAPORE (Feb 8): UOB Kay Hian says the increase in interest rates for standby lending facility (SLF),  medium-term lending facility (MLF), and reverse repo by the People’s Bank of China will be “positive” for large banks in China.

“The authorities have switched their focus from stabilising economic growth to controlling and preventing financial risks,” says UOB lead analyst Jonathan Koh in a Wednesday report.

He adds that this is positive for large banks, which are well managed and well capitalised.

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