5 Yuan

The Mengchiang Bank was established in 1937 under Japanese occupation as the central bank for the Inner Mongolian puppet state of Mengjiang. Its early notes, including this 1938 issue, were part of a deliberate currency replacement strategy — Japanese military authorities suppressed the existing Chinese National currency in occupied territories and substituted these regional issues, which were pegged to the yen rather than the Chinese yuan.

Pick J106 belongs to a series that circulated under conditions of enforced adoption. Refusal to accept occupation currency was a punishable offense.