China's Commercial Banks, Development Of Intermediary Business Research

As the integration of financial market of the world deepens andChina's financial market fully-open to foreign counties after China's entryin WTO, the need to develop Chinese commercial banks' intermediarybusiness becomes more and more emergent. To develop intermediarybusiness is brought up by the development of China's fast-growingeconomy, and the challenge imposed by the entries of foreign banks intoChina's market, also the need to counter risks and to enhance managerialcapability. The paper first discusses the developing status and weaknessesof China's commercial banking industry, drawing the conclusion that theintermediary business of China's commercial banks has long way to go tokeep up with foreign counterparts, there are lots of problems facingChinese banks in terms of intermediary business. Then it analyzes thenecessity to develop intermediary business from three respects: thedevelopment of economy, the competition from foreign banks andinterior requirement for development. Lastly, it offers severalrecommendations to develop Chinese banks' intermediary business basedon above analysis.