The Research On Legal Problems Of Bank-cooperation Between Kazakhstan And China

Bank-cooperation has been an important and essential part of the commercialrelationship between Kazakhstan and China since the diplomatic relationship isestablished. After the two governments signed the agreement of the cooperation betweenthe National Bank of Kazakhstan and the People's Bank of China in 1996, financialcooperation based on bank-cooperation has become a politically important topic betweentwo countries. However, in practical, bank settlement and export credit insurance and otherproblems had been impeding the development of the frontier-trade both sides. Therefore, itis not enough for Kazakhstan and China to push the bank-cooperation in the field ofpolitics. The bank-cooperation between the two countries should be brought legally intothe track of legislation, regulation and materialization.In the background of the financial open-up of China and the positive entry into WTOof Kazakhstan,the financial cooperation,which is on the two countries behalf and is notbound to endanger the economic and financial security in both sides,will be an inevitabletrend in the process of economic globalization. Faced with the financial globalizationunder the multilateral system on trade and the regional system on trade, the paper, bycomparing and analyzing the two countries'domestic legal system on bank and thesituation of the banking development of the two countries, discusses the necessity andfeasibility of bank-cooperation, then works on the relative problems, such as the entry ofmultinational bank, the supervision of the multinational bank and so on. In succession, byusing the useful experiments of the bank-cooperation between Russia and China, the paperprovides legally the theoretical ground for Kazakhstan and China to put up the financialcooperation, to resist the financial venture and to convenience banking operation, anddemonstrate that bank-cooperation between Kazakhstan and China will pool the twocountries'financial resources to finance and safeguard the trade and investment betweenthe two countries.