China's bank lending plunged in July as the weakening property sector hit demand for loans, statistics showed as other key indicators slowed, raising concerns for growth in the world's second-largest economy.

Domestic banks’ new yuan loans amounted to 385.2 billion yuan ($62.5 billion) last month, the People’s Bank of China (PBoC) said in a statement, a drastic decline from June’s 1.08 trillion yuan. Signs of strength in China’s economy have been tempered by nagging worries over the potential for a downturn…