China - Meeting the competition

China’s entry into the World Trade Organisation (WTO) in late 2001 has led to a steadyliberalisation of its financial markets, which will reach its climax in 2006when foreign banks will be able to compete fully with local institutions. Atthe same time, new global regulation in the form of the Basel II capital Accordwill come into effect, setting an international benchmark by which banks globallywill be judged. As a result, Chinese banks are looking to improve their riskmanagement processes, and

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