PBoC takes over city commercial bank in bid to stop contagion
Central bank says this is a standalone case and it has no plans to take over other banks
China’s central bank has taken over a mid-sized city commercial bank, Baoshang Bank, citing the serious credit risk it poses to the country’s financial system.
It is the first bank to be taken over by regulators since 1998, according to a statement jointly issued by the People’s Bank of China and the China Banking and Insurance Regulatory Commission (CBIRC) on May 24.
“The takeover of Baoshang Bank is a completely standalone case. We only do so when a commercial bank credit crisis threatens
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