The Feasibility Demonstration And Scheme Design Of China Xi Angshang Bank's Establishment

Encouraging the private capital to invest in China's banking industry to ini tiate the establishment of private banks is an important measure for our countr y to promote the Interest Rate Liberalization and accelerate the reform of finan cial system in the new period. The establishment and development of private b anks, not only invigorate the stock of capital to promote the field of productio n and consumption, but also improve the professional service for small and me dium-sized enterprises by reducing information asymmetry, which will improve the efficiency of financial services. Furthermore, the establishment of private ba nks can make the risky informal finance and the Shadow Banking System tend to be revealed and standardized, which reduce the financial risk. Therefore, fr om the point of view of practice, it is of great significance to study the set-up project of private bankThis paper takes China Xiangshang Bank as an example, has carried on th e analysis from the theory, feasibility, development orientation, establishment m ode, management and other aspects. Firstly, the concept of private banks was d efined. Then the related domestic and foreign theory research literature for the development of private banks, small and medium-sized banks and community b anks were summarized completely, which clarified the theoretical development. Secondly, the paper analyzed the current practice base of the establishment of private bank by studying the importance, sources of capital and market prospec ts of Hunan's financial system and the opportunities, challenges and advantage of China Xiangshang Bank. Thirdly, the paper clarified the market position of China Xiangshang Bank, and namely "Serve Hunan, Serve small and medium-si zed enterprises, Serve Hunan's merchants". Moreover, the paper discussed the s et-up mode of China Xiangshang Bank based on the current 5 pilot private ban ks'experience. Finally, based on the profound study on current regulatory requ irements, the paper put forward the concrete operation scheme from the capital raising, corporate governance, business development planning, risk management and other aspects, in order to improve China Xiangshang Bank's internal man agement and business efficiency.According to the above contents, the paper consists of 5 chapters. The pap er takes China Xiangshang Bank for example to propose a systematic scheme o f the private bank's set-up, which provides some useful reference for the practi cal work.