China Beige Book sees creeping caution among consumers and businesses

Commuters wear protective masks as they exit a train at a subway station during Monday rush hour on April 13, 2020 in Beijing, China.

Lintao Zhang | Getty Images News | Getty Images

BEIJING — Chinese businesses and consumers are not as optimistic on the economy as overall data might indicate, according to an independent study by the China Beige Book released Tuesday.

In its latest quarterly survey, the U.S.-based firm found that a measure of Chinese corporate borrowing fell to its lowest in the study’s history, and that expectations for loan demand in the next half year dropped — despite low interest rates.

Of particular concern, the number of retailers taking out loans fell to a record low, the report said.

“After the pandemic, it’s extremely hard to believe this is a result of adequate capital on hand,” the authors wrote. “Far more likely, retailers are split between seeing little possibility for expansion and thinking their loan applications won’t…

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