China Development Bank, one of the country's policy banks, said its non-performing loan (NPL) ratio stood at 0.66 pct by the end of September.
The lender's NPL ratio was 0.72 pct at the end of 2006, according to a figure published on the bank's website.
The bank said its outstanding loans reached 2.18 trln yuan at the end of September.
Of the total, loans for environmental protection projects reached 25 bln yuan, the bank said.
CDB was established as a policy bank in 1994, along with China Export and Import Bank and China Agricultural Development Bank. Their purpose was to take over the government-directed lending functions of the four state-owned commercial banks.