The Study Of Legal Issues On Foreign Banks Mergers And Acquisitions In Chinese Banks

With the rapid development of economic globalization, increasingly intensified international competition and the gradually loosened financial control, foreign banks quickened their paces of expansion into Chinese market by becoming a shareholding bank in China as an important approach. Foreign banks choose to buy the shares of Chinese bank rather than to fully merge them, which could effectively circumvent the conditional restriction of foreign banks'acquisition and help to faster the real operation process of relevant business. Besides, the way to take shares can lower the funds requirement and ensure a sound operation. Since taking shares is very specific, many more methods should be developed in the model of our banking supervision. We can gain much experience from other countries and regions, which can help improve our financial supervising laws. For the banking supervision system of foreign banks'funding, we should agree line to the principle of legal-oriented, fairness, coordination, moderate and national treatment, strengthening prudential regulation and perfecting supervising mechanism, holding restriction of foreign-funding banks, disclosure of information of connected transaction.