1a. What are the major problems of banking reform in China? Introduction The development of the banking sector has been one of the primary factors for stimulating the economic growth of China since the late 1970s. However the country's banking sector experienced no significant reforms in the 1980s and lacked the institutional capacity to serve China's fast growing and increasingly market oriented economy. Background Before the 1979 reform Before the founding of the People's Republic of …showed first 75 words of 2569 total…

…showed last 75 words of 2569 total…agreements signed in the spirit of market economies. There are many other invisible ways for the government to affect the pace of foreign banks' penetration, including encouraging large SOEs to use domestic banks, setting obstacles to the use of domestic networks by foreign banks, complicating and prolonging the procedures for approving specific business of specific foreign banks, etc. These are not decent things in the eyes of foreign investors, but would be the real life.