Week 5

 

Five Major Banks

· ICBC, ABC, BOC, CCB, BoCom 40 % assets

· State‑controlled

· Deposit stickiness

· Long history, strong absorption

Joint‑stock Banks

· Flexible shareholding, differentiated

· Credit card — CMB

· SME loans — CMBC

· Personal services choose JSBs

City Commercial Banks

· Rely on local economy

· Local‑gov holding

· Weak deposit, aggressive WMPs

Deposit Insurance

· Prevent run: ≤¥500k fully covered

· Finance relies on confidence & expectation

Interest‑rate Marketization

· Market sets rates; gov guides via policy

Lender of Last Resort

· Central bank ends panic

· Bagehot: good collateral + penalty rate

Blockchain Technology

· Distributed immutable encrypted DB

· Cuts info asymmetry, lowers cost

· Promising but not yet fully landed