Asia Focus

May 2010

Rural Banking in China


Although China’s banking and financial markets have undergone significant reforms in the last two decades, its rural banking market remains relatively underdeveloped. To address this situation, the Chinese government has focused considerable attention on increasing access to financial services in rural areas through policy initiatives such as easing market-entry requirements and creating new incentive mechanisms. This Asia Focus report presents an overview of China’s rural banking system, historical and recent reforms, and additional areas for improvement.

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