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Regulators say it is time for Baoshang Bank to move business to Mengshang Bank

Chris Hamblin

13 May 2020

At the time, press reports said that Baoshang Bank had plenty of interbank debts and that regulators were poised to guarantee at least 70% of them, to the value of 50 million yuan (US$7.05 million). Mengshang Bank is capitalised at 20 billion yuan (US$2.82 billion) and ought to take care of any residual credit risk.

The bank is situated in Inner Mongolia, whose native population has been inundated in the last few decades by Mandarin-speaking immigrants, in line with government policy.