The Chinese Banking Liquidity Crisis of 2013 was a sudden credit crunch affecting China's commercial banks evidenced by a rapid rise on 20 June 2013 in the Shanghai interbank overnight lending rates to a high of 30 percent from its usual rate of less than 3%.
[1] China's regulation of the foreign exchange market had caused a decline in inflow of cash.
There were concerns even that the "massive, shady trade"[3] in over-the-counter credit could place China's financial security and social stability, at risk.
[5] Following PBOC intervention in June 2013, the loss of liquidity from shadow banks caused the blue-chip Shanghai Composite Index (CSI300) to plummet 5.3% the largest daily decline in nearly 4 years.
[6] As result, the credit rating agency Moody's issued a warning on Chinese and Hong Kong debt obligations.