Banking System Reform in China: The Challenges to Improving Its Efficiency in Serving the Real Economy. (July 2017)

• Record Type: Journal Article
• Authors: Okazaki, Kumiko
• Is Part Of: Asian economic policy review. Volume 12:Number 2(2017)
• Page Start: 303
• Page End: 320
• Publication Date: 2017-07
• Subjects: banking system reform -- China -- corporate governance -- financial liberalization -- nonperforming loans; G21 -- O16 -- O53 -- P34; Finance -- Asia -- Periodicals; Asia -- Economic conditions -- Periodicals; Asia -- Economic policy -- Periodicals; 330.95
• DOI: 10.1111/aepr.12188
• Languages: English
• ISSNs: 1832-8105

Abstract

Abstract : The Chinese banking system reform since the country's accession to the World Trade Organization has yielded remarkable success. The major listed commercial banks have improved their operational performance significantly. However, there are some signs of changes in their financial results recently. The expanding debt of non‐profitable enterprises and local governments raises a question on the achievements of the previous reform. Considering that the competition among banks will become severer with financial liberalization under slower economic growth, the banks and supervisory authorities must continue to make greater efforts towards further reform in order to improve the banks' corporate governance and the risk management system.