Harbin Bank

Harbin Bank - one of the largest Chinese banks working in the Province of Heilongjiang.

2019: The bank is nationalized on the verge of bankruptcy

In November, 2019 Harbin Bank - was nationalized. It appeared on the verge of bankruptcy and had assets of 89 billion dollars.

It was necessary to extend from a hole bank to China five months later after the deputy chairman of Harbin Bank Zhou Ze attended the St. Petersburg International Economic Forum and signed the agreement on financing of projects in Russia.

The bank was going to issue the credit for the amount to 300 billion yuans to VEB which, in turn, expressed the intention to use the Chinese money for projects within May Decrees of the president.

Harbin Bank became the third since the beginning of year the large bank in China which gave SOS signal. At the end of May, 2019 Baoshang Bank with assets of 83 billion dollars failed, and in June on the verge of crash there was Bank of Jinzhou, commercial bank from the Province of Liaoning with assets of 105 billion dollars.

The increasing inability of the real sector to service accrued liabilities as the economy slows down because of trade war and fading of a population explosion of the last century becomes a headache for the Chinese banks.

For the first four months 2019 the volume of defaults on a corporate debt in national currency in the People's Republic of China reached 5.8 billion dollars that is about 3.4 times more, than for the same period of 2018.