Over the weekend, China’s Harbin Bank said it was now under government control. That comes months after Chinese authorities seized control of another small lender, Baoshang Bank, and state institutions took stakes in a third, Bank of Jinzhou. Several other lenders have yet to file 2018 annual reports, in another sign that the problems are more widespread. Here’s how China’s banking system works—and what’s going wrong. Smaller Banks Have Grown FastChina’s banks come in various flavors.

Source: Wall Street Journal November 17, 2019 10:30 UTC