In 2015, China started allowing qualified investors to set up privately funded commercial banks, which might be the largest change in China’s state-dominated banking sector in the recent decade. The privately-owned banks are said to break the monopoly of existing state-owned banks, as well as providing more loans to China’s money-starved entrepreneurs who are underserved by state-owned lenders. This article aims to introduce the latest development of privately-owned banks in China, and analyse some potential challenges faced by these newly established banks and the relevant regulatory issues.
|Journal||Banking and Finance Law Review|
|Early online date||1 Aug 2016|
|Publication status||E-pub ahead of print - 1 Aug 2016|
- Private Banks
- Deposit Insurance
- Banking Law
- Financial Regulation