China''''s Banking Regulatory Body Established

Approved by the 10th National People's Congress, an independent banking regulatory body - the China Banking Regu-latory Commission- will start operation soon.The newly-founded organization,the RCBI,is an organization at the ministerial level under the direct control of the     

The Internet Banking Model and Comparative Study

The rapid development of information and communication technologies, with the Intemet being one of the most significant, is shaking the foundation of the banking industry. New business models in the banking industry are replacing outdated ones and organizations are rethinking business process designs and customer relationship management strategies. There are three prevalent Intemet models in the banking industry： （1） Net-only bank, also referred to as branchless or pure-play, where the customer obtains services via the Intemet without any face-to-face interaction with bank personnel; （2） Hybrid bank, also referred to as ＂brick-and-click＂, where a traditional bricks-and-mortar bank offers Intemet banking to its customers; （3）One-stop-shop, was founded by the universal bank, large-scale traditional banks or large-scale new entrants of financing, where the customer can obtain integrated financial services such as bank, security, insurance, trust, funds, leasehold, and so on. The paper reviews existing studies on the use of the Intemet in banking, and highlights three prevailing models and the strategic thinking behind them. Based upon comparative analysis of each models, the paper discusses a number of emerging tendencies and explores possibilities to reconcile the discrepancies among the three prevailing models.     

The Research of Effective Banking Supervision for China

Basel Committee put forward the core principles and preconditions of effective banking supervision for strengthening the supervision standard of the emerging country and the developing country. The preconditions offer an institutional frame as references to enhance the effectiveness of banking supervision in China. As we can see, on the one hand, the improvement of financial supervision depends on the adjustment of the supervision system itself; on the other hand, it has a strong relationship with the changes of the institutional conditions. Currently, some institutional defects exist in Chinese banking supervision, which is one of the important causes that lead to weak supervision effectiveness. The author analyzes these questions and presents some suggestions.     

The Researches of Financial Innovation and Banking Fragility

Western developed countries have experienced a tide of financial innovation since the 1960s. Modern banking system has changed substantially as an avalanche of new financial instruments, new financial services, new financing manners and new financial derivative products. And now, the global financial system is facing an unprecedented situation of financial innovation. Nowadays, financial innovation can open up the space of banking subsistence and development, but at the same time, it will increase the risk of banks and then affect the banking fragility.     

Research on CRM Strategy Implementation of Banking in China

With China entry into WTO and opening of the financial markets, banking industry will be sure to be faced with drastic competition from foreign banks that have apparent competitive advantages Over native banks in such aspects as capital, technology, operation, management and innovation. Especially, they have abundant experience in CRM. Up till now, native banks are in their first step on implementing CRM. To establish competitive advantage, native banks must change their operation idea and reinforce the construction of CRM. This paper analyzes CRM implementation characteristics of banking in China, put forward a new CRM strategy system of banking in China, and then points out some problems deserve attention in bank＇s CRM implementation     

Causes and Enlightenments on M＆A in International Banking

In the past few years, the wave of M＆A in international banking is changing the banking structure profoundly. Banks tended to be more international and more multifunctional through M＆A. As a member of WTO, financial institutions of China are facing more and more challenges by international banks. This paper analyses the causes and characteristics that affect M＆A in international banking and offers some new ideas for banking in China.     

The Comparison and Development of the Banking at Home and Abroad

By comparing and analyzing the banking in the environment of WTO, the paper points out that Chinese banking should choose the entry into WTO as the turning point, deepen the reform and speed up the development to be adapt to the environment of economic globalization early and succeed in the competition of financial globalization.     

Research on the Application of Customer Relationship Management in Chinese Banking

Customer Relationship Management （CRM） can help banks in China facing the challenge of intensive market competition to enhance their core competence. With the application of CRM, Chinese banking will provide high quality financial services to customers, thus strengthen market status of banks in China.     

The Chinese Banking Sector： Challenges and Prospects in the Coming Years

The banking sector plays the critical function of financial intermediary in a nations economy.In the past few years, as a result of the rapid growth of the Chinese economy andaccommodating monetary policy, Chinas banking sector has experienced remarkableexpansion.1 However, many issues still remained in Chinas banking sector, such as assetquality, capital adequacy, management and risk control. These issues, if not appropriatelydealt with, may hinder the sustainable development of, and even im…     

Are All Banking Crises Alike? The Japanese Experience in International Comparison

This paper examines episodes of banking sector distress for a large sample of developed and developing countries, highlighting the experience of Japan. We estimate a multivariate probit model that links the likelihood of banking problems to a set of macroeconomic variables and institutional characteristics. The model predicts a high probability of banking sector distress in Japan in the early 1990s. The likelihood of an episode of banking distress rose in line with the sharp drop in asset prices, deepening recession and a “moral hazard” problem (financial liberalization combined with explicit deposit insurance). J. Japan. Int. Econ., September 1999, 13(3), pp. 155–180. Department of Economics, Social Sciences 1, University of California, Santa Cruz, California 95064 Copyright 1999 Academic Press.Journal of Economic Literature Classification Numbers: E44, G21, O16.     

Exploring the Way to the Prudent and Risk-focused Banking Supervision System in China

The Chinese financial industry has developed rapidly during the past two decades. The transformation of financial regulation, supervision and operations from those of planned-economy to marketed-orientated economy is well underway, but not yet complete in key respects. There still exist many financial management policies that cannot meet the need to build up a prudent and risk-focused banking supervision system. At the end of this year, China will have to open its financial market completely to the world. So it is an urgent task for China to reform these unfitting financial management policies.     

Bank Reforms,Competition and Efficiency in China＇s Banking System： Are Small City Bank Entrants More Efficient？

This paper analyzes technical efficiency in China＇s banking system by large banks and small city banks as well as the pre-WTO and post-WTO accession periods＇. Using an unbalanced panel dataset for 63 banks over 1997-2006 and employing the stochastic frontier function approach, the empirical results reveal that the new entrants, small city banks, experienced a slightly higher efficiency score than incumbent large banks, on average. Compared with the pre- WTO accession period, the efficiency score is found to have improved significantly after entry into the WTO as a result of the competition effect. This competition effect is particularly relevant for small city banks. Finally, determinants of X-inefficiency are examined