Released on = December 1, 2006, 11:07 pm

Press Release Author = RNCOS

Industry = Financial

Press Release Summary = A new law has been proposed to improve the Chinese Banking
Sector. This law would bring non-financial institutions and individuals under the
investigation of banking supervisory bodies.

Press Release Body = The top legislature of China started to debate on an amendment
in draft law on October 27, 2006. This law would permit the investigation of
non-financial enterprises and individuals by the banking supervisory units. The
draft emendation to the ordinance on the regulation and supervision of banking
sector was relegated to the 24th session of Standing Committee of the tenth National
People’s Congress for its first reading.

This law has been designed to further intensify the supervision on the banking
sector in China. The existing law that came into effect in 2004 lets CBRC (China
Banking Regulatory Commission) and its arms to supervise, investigate and collect
information from financial bodies only.

But Liu Mingkang, Chairman, CBRC, believes that existing law fails to allow the
banking supervisors to efficiently clamp down on illegitimate practices in the
Chinese banking sector.

He informed that bank insiders conspired several cases with outside enterprises and
individuals that are not under the investigatory power of banking supervisory
authorities. The subsidiaries of CBRC reported about 76 complaints of obstructions
in investigations in 2005.

As per the views of Research Analyst at RNCOS, who has recently researched a report
on “China Banking Sector Analysis (2006-2009)”, giving more authority
and power to the banking supervisors will help in eliminating risks that the
emerging financial sector of China will face when the sector will be opened to
foreign players.

The research report also addresses some interesting issues that are critical for
today’s business environment, like:

- Insight into market trends
- Growth sectors and factors driving change
- Opportunities, strategies and challenges for the banking industry
- Competitive environment and market and brand leaders
- Services driving the Banking Sector in China

The report provides extensive research and rational analysis on the growing banking
industry, their product quality and services in China. This report helps clients to
analyze the leading-edge opportunities critical to the success of the banking
Industry in China.

About RNCOS:

RNCOS, incorporated in 2002, provides Market Research Reports for your business
needs and aims to put an end to your information pursuit. Our expertise in gathering
global business information for industry research, corporate training, growth
consulting, and business consulting, brings reputed companies and firms to us for
business enhancement solutions. We can be your one-stop-shop for Industry research
information and niche market analysis.

For more information visit: http://www.rncos.com/Report/IM056.htm

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