26 February 2020

CBRC drafting rules on bank insolvency, website says

The China Banking Regulatory Commission is drafting guidelines on banks undergoing bankruptcy, news website INewsweek reported Friday, citing remarks by CBRC vice chairman Yan Qingmin. Although the possibility of a bank declaring insolvency is seen as remote in China, the regulator said it has to be ready to deal with such an eventuality. The rules may provide that each deposit account will get a maximum of 500,000 yuan (US$82,600) in such cases, unidentified sources said.

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