In 2025, the mergers and restructuring of small and medium-sized banks in China ushered in a big year, and village banks, agricultural commercial banks, etc. are “exiting” at an accelerated pace. According to information released by the China Financial Supervisory Authority and the latest data from the Enterprise Warning Notice, up to now, 368 banks have been cancelled during the year due to regulatory approval mergers or approved dissolution, which is more than the whole of last year. Among them, 176 village and town banks “disappeared”, accounting for nearly “half” of the total number of withdrawals. In response, industry experts said that mergers and restructuring of small and medium-sized banks are conducive to reducing high-risk financial institutions and reducing risk prevention and mitigation costs. In the future, the “reduction in volume and quality improvement” of small and medium-sized banks will continue.

In 2025, the mergers and restructuring of small and medium-sized banks in China ushered in a big year, and village banks, agricultural commercial banks, etc. are “exiting” at an accelerated pace. According to information released by the China Financial Supervisory Authority and the latest data from the Enterprise Warning Notice, up to now, 368 banks have been cancelled during the year due to regulatory approval mergers or approved dissolution, which is more than the whole of last year. Among them, 176 village and town banks “disappeared”, accounting for nearly “half” of the total number of withdrawals. In response, industry experts said that mergers and restructuring of small and medium-sized banks are conducive to reducing high-risk financial institutions and reducing risk prevention and mitigation costs. In the future, the “reduction in volume and quality improvement” of small and medium-sized banks will continue.