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China saw bank runs at two small local banks last week, a sign that a mountain of debt and an unprecedented economic contraction has started to take a toll.
Local governments in both Baoding city in Hebei province and Yangquan, a city in a coal-rich Shanxi province, last week urges depositors not to withdraw cash from local banks.
On Saturday, the city of Baoding said on its official WeChat account that Baoding Bank was operating normally and people “should not believe in or spread rumours … and should jointly safeguard good financial and social order . . .
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