Financial reforms and innovations in China : impacts of China's entry into the WTO on the banking industry | |
| Author | Li, Shulan |
| Call Number | AIT RSPR no. SM-03-02 |
| Subject(s) | World Trade Organization Banks and banking--China |
| Note | A research study submitted in partial fulfillment of the requirements for the degree of Master of Business Administration, School of Management |
| Publisher | Asian Institute of Technology |
| Series Statement | Research studies project report ; no. SM-03-02 |
| Abstract | China's entry into the WTO is a big event during China's economic development process. It shows that China has fully started to join economic globalization, which will bring China's economy a profound impact. Meantime, despite the astonishing perfo1mance of China's economy in general in opening to the outside world, the financial sector still remains largely, if not completely, insulated from the world economy. As a result, it is among the least efficient and competitive sectors in today's China. However the financial sector has played a crucial role in ensuring China's smooth transition toward market economy (i.e. to mobilize domestic savings, to finance the survival of ailing state-owned enterprises (SOEs), and, therefore, prevent China from the turmoil transition path of "shock therapy"). Hence the financial sector can serve as a "crucial case" to examine the impact of China's ent1y into the WTO. The four state commercial banks, the Industrial and Commercial Bank of China (ICBC), the Bank of China (BOC), the China Construction Bank (CCB), and the Agricultural Bank of China (ABC), are the major players in current banking industry. They have large concentration ratios in terms of assets, deposits and loans, and would be considered highly oligopolistic. Foreign banks possess the better-developed management skills and technical standards, such as financial innovations, diversified products and E-banking. There is also strong support from home countries. Small and medium banks represented by CITIC Industrial Bank, Shenzhen Development Bank and a number of city commercial banks, account for little in the whole banking industry before, however they are developing very fast in last two years, and have become a bright star in the industry. The competition between domestic commercial banks and their foreign counterparts is inevitable, which will be the catalyst for financial reforms and innovation in the banking sector. This research gives an overview of development of Chinese banking industry, analyze competition between the state banks and foreign banks, development of small and medium banks, and illustrates reforms and innovations that will be carried out in the commg years. |
| Year | 2003 |
| Corresponding Series Added Entry | Asian Institute of Technology. Research studies project report ; no. SM-03-02 |
| Type | Research Study Project Report (RSPR) |
| School | School of Management |
| Department | Other Field of Studies (No Department) |
| Academic Program/FoS | Master of Business Administration (MBA) (Publication code=SM) |
| Chairperson(s) | Tang, John C.; |
| Examination Committee(s) | Sununta Siengthai;Singha Chiamsiri; |
| Scholarship Donor(s) | Ministry of Education The People's Republic of China; |
| Degree | Research Studies Project Report (M.B.A.) - Asian Institute of Technology, 2003 |