Analyses Concerning The Development Of Retail Banking Business In China

The year of 2008, the monetary policy of China will be constrictive. In this environment, commercial banks' gross quantity and pace of credit will be dominated. The commercial banks of China that prefer to the corporation business begin to put their hands into retail banking business that it is little affected by monetary policy and the change of exterior environments. Although the retail banking sector in China is still underdeveloped by international standards, but in the sheer scale of savings in China, the future potential of the sector is immense, making it being one of the most attractive prospects in the word for banks. For retail banking business of China, this is a turning point. On October, 2007, new rules guiding for foreign banks that they can develop the business which only belonged to commercial bank of China formerly were published. The low level competitive environment of domestic banks has being changing completely. The commercial banks start to face the competitive challenge launched by their foreign and domestic competitors.For the moment, the retail banking business spring up freshly, so there are some problems such as the commercial banks have acquired very little profit through the retail banking business, the quality of servings in domestic banks is lower, in the same time, the domestic banks overlook the construction of framework and customer relationship management, and so on. So, considering this, the paper briefly introduces the fundamental knowledge and relative theories of the retail banking at the beginning. Then with the comparative analysis method, analyzes the international bank such as Citibank' patterns and trends in the scale of retail banking business. Then, analyzes the development of domestic banks concerning retail banking business. The author puts forward some concrete business countermeasures to different type commercial banks separately, contemporarily, emphasizing the construction of organizing framework and customer relationship management is very important for domestic banks, expects that these suggestions can help the domestic bank successful in the scale of retail banking business.