CHINESE BANKS PONDER THEIR OPTIONS FOR EXPANSION – BUT REFORMS ARE NEEDED TO STABILISE GROWTH
January 1st, 2013
NEW income streams and lower wages are helping maintain the competitiveness of Chinese banks – despite lower productivity and higher staffing headcounts compared to their Western peers. But comprehensive reforms are needed to ensure that this expansion of banking is built on solid foundations, reducing the risk of future financial crises.For now, lower staff costs may compensate for China’s possible future liberalisation of interest rates – mooted for 2015 - but Chinese banks have been able to insulate themselves from lower productivity by paying lower ...
Full access to this article can be arranged with permission from the client that first ordered it. Please contact us to request access. Entries are uploaded to our archive at least one year after being published by a client – free access is restricted to International News Services journalists for background research only. The article date indicates when copy was filed to a client, not when posted to this archive. Upon client requests, International News Services will remove such articles from the archive or not upload them in the first place. They are included to demonstrate the breadth of topics undertaken by the agency and also to help promote clients’ coverage.