The Financial Activities Of The Sino-Russian Daosheng Bank In China

Sino-Russian Daosheng Bank, the first Sino-Russian joint bank in modern China, was one of the typical banks that showed the tendency that the foreign financial industries entered China. In 1895 the Sino-Russian Daosheng Bankwas established in St.Petersburg, and the Chinese government became the shareholder of this bank in 1806 Its financial activities had been done for 30 years in northeast China, Xinjiang, and some other areas in China until it came to an end in 1926.The Sino-Russian Daosheng Bank directly invested in China, operated the Zhongdong(China to eastern Russia) Railway, and indirectly invested in Luhan, Zhengtai, Binhei Railways by using the right of providing loans to China. Besides, it also loaned money to and ran mines, by exploiting mines of gold, coal iron and etc., cut down great quantities of forests, operated some other flour-making factories and cotton textile industry, and provided loans to the central and local governments of China with the revenues from customs and salt tax as the mortgages.All the activities of the bank in financial inflow and capital expansion in China, on the one hand, benefited greatly from the goods and financial markets in northeast China and Xinjinag by seizing and controlling them, and thus expanded its power in China and helped Russia to control and influence Chinese economy. On the other hand, its investment in railways and mines impersonally reinforced the construction of infrastructure, enhanced the communication between eastern China and other areas, promoted the development of the resource exploitation, mines and other industries, and as a result accelerated the development of the local economy.