Home
Letters to Editor
Domestic
World
Business & Trade
Culture & Science
Travel
Society
Government
Opinions
Policy Making in Depth
People
Investment
Life
Books/Reviews
News of This Week
Learning Chinese
Central Bank to Increase Supervision Transparency After WTO Entry

Chinese banks must try their best to improve assets quality to adapt themselves to stricter supervision demands, facing new products, new businesses brought by foreign banks, and supervision departments will have to explore feasible measures.

So far, the total assets proportion of foreign banks in China accounts for 2 percent that of banks' of China, with their foreign exchange loans and foreign exchange deposit rate making up 23 and 5 percent, respectively.

After China's entry into the WTO, restrictions will be lifted for Chinese enterprises to loan from foreign banks, said Wu Xiaoling. Supported with the good services of foreign banks, it is beyond doubt that foreign exchange loan market share will increase, but the scale of foreign exchange loan will be depended on the interest rate of international financial market. The central bank will follow the principle of precaution to properly control fund amount borrowed from foreign banks and encourage foreign banks to issue loans by way of attracting foreign exchange deposit. Foreign banks will also experience rapid development owing to their better service in international settlement.

Wu stressed that foreign banks will be both partners and rivals for Chinese counterparts, which will greatly motivate China's banking development. Foreign banks will pose competition against the Chinese side in its ability of winning excellent clients and good management with regard to talent attraction and both sides will pin their points on attracting more outstanding graduates while both will have more opportunities for cooperation too. Chinese banks can learn the advanced experience from their foreign counterparts and learn how to use network technology to carry out informationization management and learn how to expand market. Foreign banks can also fully utilize Chinese banks' mass business nets to conduct wide range of cooperation with Chinese banks.

(People's Daily December 4, 2001)

Gold Product Retailer Required for Relevant Registrations
PBOC Lowers Savings Rates for Foreign Currency
Central Bank Seeks Easier Access for Students to Loans
Central Bank Sets Rules for Overseas Operations of Commercial Banks
Central Bank Regulates On-line Banking
Central Bank Issues Guidance on Financial Supervision
Zhu Stresses Development in Drafting Five-Year Plan
Law to Be Improved
Patent Protection Efforts Needed to Be Deepened
Lawyers Urged to Get Ready for WTO Entry
Flexible Policies Urged on State Input
More Volunteers to Help China
China's Cities Open to Foreign Commercial Firms
Copyright © China Internet Information Center. All Rights Reserved
E-mail: webmaster@china.org.cn Tel: 86-10-68326688