The Structure of Chinese Banking System and Credit Access Problems for SMEs
Transition Studies Review, Vol. 15, No. 3, 2008
Posted: 22 Jan 2011
Date Written: December 1, 2008
This paper examines the structure and the main characteristics of the Chinese banking industry. In particular, the paper analyses the problematic aspects of credit relations of small and medium enterprises (SMEs). The SMEs are facing several problems in accessing the bank loans market, dominated by the political and contractual weight of state-owned enterprises. However, some recent reforms have improved the situation, a fundamental condition for additional positive results. Nevertheless, further and more pervasive modernization efforts are needed to consolidate these results and to develop the relationships between banks and SMEs.
Keywords: China, banking system, credit access, SMEs
JEL Classification: F37, G21, O53
Suggested Citation: Suggested Citation