There is an obvious problem with China’s manufacturing sector, which has been devastated by lockdowns.
Is this minor, tucked-away story from Reuters indicative of a far larger problem?
SHANGHAI, May 18 (Reuters) – Three banks in China’s central Henan province have frozen at least $178 million of deposits, offering scant information on why or for how long, leaving firms unable to pay workers and individuals locked out of savings, depositors told Reuters.
Yu Zhou Xin Min Sheng Village Bank, Shangcai Huimin Country Bank and Zhecheng Huanghuai Community Bank froze all deposits on April 18, with all three telling customers they were upgrading internal systems. The banks have not issued any communication on the matter since, depositors said.