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Jan 5 (Reuters) – China’s top financial regulator asked its policy banks and other major lenders to report their lending exposure to Venezuela after the U.S. capture of the Venezuelan president, Bloomberg News reported on Monday, citing people familiar with the matter.
The National Financial Regulatory Administration (NFRA) also advised banks to strengthen risk monitoring of all Venezuela-related credit, seeking to assess potential dangers to China’s lenders, the report added.
The NFRA did not immediately reply to a Reuters request for comment.
For years, China has extended credit lines to Venezuela under loans-for-oil deals.
The Bloomberg report said the NFRA’s move highlights growing concerns among regulators over potential shocks to the banking sector as geopolitical risks mount. Billions in loans have been extended over the past decade by China to the South American country, primarily led by policy banks such as China Development, the report added.
China’s foreign ministry on Monday reiterated Beijing’s stance on the situation after the U.S. attack on Venezuela and called for the immediate release of President Nicolas Maduro.
(Reporting by Sherin Sunny in Bengaluru; Editing by Devika Syamnath)
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