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News Summary: Bracing for credit crunch in China

The Associated Press

COOL LENDING: Chinese regulators are trying to force the country's banks to cool a lending boom. Analysts say it could be Beijing's most drastic clampdown on credit in two decades.

LOWER RISK: The central bank has called for tighter lending standards, which should reduce financial risk and benefit China in the long run. But such a move is also likely to reduce financing for entrepreneurs who generate China's new jobs and wealth. That could sap the country's economic recovery.

UNKNOWNS: The government has yet to say what it might do to ensure lending for businesses that Chinese leaders have said they want to support.