Author(s)

Luo Liyong

Corresponding Author

Luo Liyong

Abstract

Improving market openness degree and continuing from market access to price opening will promote industry diversification and enhance the effective competitiveness of China's banking industry. It is the goal of China's banking industry organization policy during the 10th Five-Year Plan period. Nowadays, the imperfections of China's banking industry organization are as below: monopoly structure does not produce monopoly profits, market concentration and asymmetry of profits and assets, resulting in huge social welfare losses, which seriously affected the rapid development of the banking industry. To this end, we will continue to relax restrictions on industry access, promote competition in the money market, deepen the reform of the shareholding system of state-owned commercial banks, relax price controls, promote interest rate liberalization, etc., optimize the banking industry organizations in China, and reform our banks. It is very important to organize the system to meet the insatiable desire for loan funds in China's economic reforms.

Keywords

“10th Five-year Plan period”; China’s Banking Industry; Industrial Organization