Chinese Collapse: Run on Banks in China as Country’s Economy Diminishes
China really tries hard to portray herself as a global power. In a sense, they really are. They are one of the largest countries in the world and because of their tyrannical communist government, they have been able to lure in businesses from around the world because they can oppress their own people by forcing them to work for less.
It’s really unbelievable to see how cheap some things are in China. I used to run a drop shipping business and some of the products that I would sell came from China. You can literally find items in China that cost less than $1 and sell them for $50 here in the U.S. It’s insane.
Of course, many times the quality is poor and advertising is deceptive, but if you know how to separate the good from the bad, you can run a successful business this way.
Today, however, I wouldn’t do it again. I don’t want to have any dealings with China. I see people who talk about investing in Chinese companies and Russian companies while they’re at lows as if they have zero standards in what they invest in. Russia can attack a country and all they can think about is what Russian stocks are going to do best. But, to each their own I suppose.
However, decades of tyranny and recent years of mandates may be bringing down the powerhouse. It’s being reported that people are lining up for hours at banks in China to get withdraw money from their accounts. As Ernie said in the movie ‘It’s a Wonderful Life’, “I’ve never really seen one, but that’s got all the earmarks of a run.”
Recently, freezing depositors’ accounts by four rural banks in Henan has become a hot topic on social media. As a result, customers of these banks could not withdraw their money which led them to move to Zhengzhou, Henan to claim their rights. Following Henan, banks in Shanghai and Dandong (Liaoning) also witnessed a long traffic jam in front of their headquarters.
Youtube channel Zai Ye Shuo posted a video stating that on June 17, many people lined up outside Dandong bank waiting to withdraw their money. The channel wrote, “Done! Bank can’t withdraw money! There was a run on a bank in Dandong, Liaoning, and a thunderstorm on the banks of Henan village caused panic.”
In the video, a long line of depositors can be seen outside Dandong bank, hoping to be able to withdraw their money.
Another video shows the traffic jam at Dandong Bank, Liaoning, on June 16.
— 谢万军 Wanjun Xie (@wanjunxie) June 17, 2022
People in China are saying that this has been going on for some time now, too. They’re warning that the banks are going to collapse and people want to get their money while they can.