South Korea's Financial System Reform And The Revelations For China

Financial system is composed of money market, financial organization and the relative laws and regulations. It represents the financial development process of a country and keeps reforming and progressing with the steps of time. China's economy has made great achievements over the past 20 years, while the financial system is still dropped behind.The Asian financial crisis started in 1997 was the first serious crisis since the economic globalization. It had its own characteristics compared with the traditional periodically happened financial crisis and even spread and impacted wider and further. This financial crisis also created questions to China's financial industry on the inducement, preventive measures and so on.South Korea was one of the country most affected by the crisis. However, after the crisis Korea took a series of financial reform measures decidedly and surmounted the crisis successfully in a short time and repaid the loan from several international financial organization such as IMF ahead of the schedule.In this thesis, I will try to analyze the causes of the financial crisis for South Korea as well as the financial reform measures that Korean government took. The focus will be on the Korean achievement and existing problems that China could conclude and learn from the crisis. Some suggestion and advisement will also be raised referring to China's financial reform.