Billions pulled out of China banking system in a few days

Royal Bank of Scotland has warned it may become the fourth big investor in just a few days to pull billions of dollars out of the Chinese banking system, fuelling fears that China’s faltering economy could be hit by massive capital outflows in coming months. Reports indicate the British bank, now controlled by the U.K. government, has been in talks with Chinese regulators for the past few days to sell down its 4.3% stake in Bank of China worth $3.7-billion.