CMBC’s Assets Cleanup Was Making Progress Despite Lingering Challenges in Credit Quality

China Minsheng Banking Corp's, or CMBC's, credit risk still faces challenges after years of restructuring. The bank was once a leader in China’s micro- and small enterprise, or MSE, financing market. The fragility of small private enterprises translated to a painful business restructuring for CMBC over the past six years. These difficulties are compounded by ongoing regulatory tightening to crack down on shadow bank credits and reduce wholesale funding.