ANNOUNCEMENT 24 May 2019

May 24th, 2019 - The Chinese government announced that it was taking full control of Baoshang Bank, a private company based in northeastern China.

NUMBER OF INTERVENTIONS

1

  • 1 harmful
  • 0 neutral
  • 0 liberalising

SOURCE

People's Bank of China, China Banking Regulatory Commission (via State Council website), May 24th, 2019. (关于接管包商银行股份有限公司的公告)
http://www.gov.cn/xinwen/2019-05/27/5395040/files/38b6ca29e9d8420597774be85f0c0ec5.PDF

Inception date: 24 May 2019 | Removal date: open ended
Still in force

Capital injection and equity stakes (including bailouts)

On May 24th, 2019, China's two top financial regulators, the People's Bank of China and China Banking Regulatory Commission announced that they would be stepping in to take control of Baoshang Bank, a private bank based in China's northeastern Xinjiang Province.

The notice stated that 'serious credit risks' warranted the takeover.

This is the first such action by the Chinese state since 1998.

The most recent available figures, from 2016, for Baoshang Bank state that it had assets of USD 60.6bn (CNY 418.3bn).

AFFECTED SECTORS

 
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AFFECTED PRODUCTS

 
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