The Limitations And Improvements Of China’s Commercial Bank Laws On Regulating Investments In Foreign Countries

The Commercial Banking Law of China were introduced in May of1995, and revised in December of2003, which can be considered as appearing in the trend of market economy. In the past several years, the financial market suffered development and reform. Especially, after China became the member of WTO, the banking began to open to the world, but these changes don’t reflect in the law, for example, the issue of foreign investment that is the focus of banking law of other countries.the countris and regions where separated operation are adopted totally or partly attach importance to the issue in particular.Some regulations are supplies by the Commercial Banking Law of China to control the foreign investment of comercial banks,but pretty simple, and can’t be carried out in practice. This is has something to do with law enforcement environment, but the law itself is unreasonable, unscientific, and enforceability of lack of close relationship.The paper makes comparison about foreign regulations on foreign investment based on domestic law, and finds the regulations mostly fit to the present situation of China; put emphasis on banking practice. Based on the first-hand information of China’s commercial Banks’foreign investment, business process is introduced and analysed in detail, particularly existing legal issues in the operation; In the existing legal environment of China, some countermeasures to improve the feasibility of foreign investment in commercial Banks are put forward in reference to the experience and its development trend of foreign investment in commercial Banks.