Non-performing loans (NPL) in the banking sector in Wenzhou, East China's Zhejiang Province, hit a new high at the end of October, China Business News (CBN) reported Thursday, citing the latest data from Wenzhou Banking Regulatory Bureau.

The NPL of Wenzhou's banking sector totaled 31.13 billion yuan ($5.11 billion) by the end of October, while the NPL ratio reached 4.31 percent, hitting a new high since the second half of 2011, CBN said in the report. 

Fund guarantee chain risks and the slow growth of new bank loans were the major causes for the high amount of NPL.

Global Times