Research On Ruihua Bank In The Shanxi-Hebei-Shandong-Henan Liberated Areas(1946-1949)

Ruihua Bank was the first joint-stock bank established by the Communist Party of China in the Shanxi-Hebei-Shandong-Henan Liberated Area during the War of Liberation.After the liberation of Handan in October 1945,the government of the Shanxi-Hebei-Shandong-Henan Liberated Area implemented a support policy for Handan,encouraging the development of the private economy,relying on a relatively peaceful political environment,and in order to prevent the Kuomintang from swallowing the economic achievements of the Liberated Area,in March 1946,the Jinan Bank proposed to the government of the Shanxi-Hebei-Shandong-Henan Liberated Area a proposal to establish Ruihua Bank.In June 1946,the head office of Ruihua Bank officially opened in Handan,and branches were established in Changzhi,Jincheng,Xingtai,Linqing,Nangong,Heze,and Jining.At the beginning of its business,Ruihua Bank developed rapidly.After 1947,the scale of its operations was reduced due to the impact of the war,and several branches were successively cancelled.In April 1948,the head office moved to Shijiazhuang.In March 1949,Ruihua’s head office published a "Notice of Closure",ending nearly three years of operation.Ruihua Bank actively carried out various banking businesses such as deposits,loans,and remittances,as well as specialized businesses such as warehouses and investment industries.It adjusted the finance and materials in the Liberated Areas and supported the progress of the War of Liberation.In terms of organizational structure,Ruihua Bank has a board of directors,a board of supervisors,and a management level in accordance with the model of a joint stock company.Its organizational management system has similarities with modern bank management systems.According to the war situation and the changes in market conditions,Ruihua Bank continuously adjusted its own business strategy,cooperated with Jinan Bank to consolidate the position of Hebei Banknote,and grasped the monetary initiative in the struggle against the enemy.Ruihua Bank has a pivotal position in the financial community of the Shanxi-Hebei-Shandong-Henan Liberated Area.Taking serving the revolution and society as its own responsibility,Ruihua Bank has made efforts in developing agricultural production in the Liberated Areas,financial adjustment,prospering the market,assisting industrial and commercial development,and actively explored urban financial management.It has trained a large number of urban financial talents,made contributions to taking over and carrying out financial work in large cities after the founding of New China,and is a reform and attempt of the Communist Party of China to the financial cause.However,due to the impact of the political and economic environment,Ruihua Bank also has many shortcomings in its operation,resulting in a period of business obstruction,which in disguised form has encouraged social speculation and profiteering,and has also generated many contradictions with Jinan Bank,even causing social problems such as unfair distribution of benefits.Taking Ruihua Bank in the Shanxi-Hebei-Shandong-Henan Liberated Area as the center,the research on its development history,business operation,organizational structure and nature is conducive to exploring its role in the War of Liberation.Through case studies,it explores the functions of Ruihua Bank different from that of Jinan Bank,and demonstrates its nature,so as to show the the Communist Party of China’s continuous exploration and efforts on the path of financial development in difficult times,It can also provide experience and inspiration for the development of China’s banking industry today.