Agricultural Bank of China and China Construction Bank appoint new chairmen: Status quo unchanged
ABC and CCB appoint Jiang Choliang and Wang Hongzhang as respective chairmen, but internal monetary and financial issues likely to force Chinese banks to stay on course. January 26, 2012 | Baron LaudermilkThe China Banking Regulatory Commission (CBRC) has approved the appointment of new chairmen for Agricultural Bank of China (ABC) and China Construction Bank (CCB), with Jiang Choliang heading ABC and CCB appointing Wang Hongzhang. Wang has in the past held various positions at Industrial and Commercial Bank of China. He has also served as chief disciplinary officer at China’s central bank from 2003, and was the previous director of the general planning department as well as general manager of the international business department at ABC. We can expect to see no major changes in Chinese economic policy from these two men, and even from the banks in general in the upcoming months. Analysts in Beijing say the Chinese government will stick to the status quo and strive to stabilize economic growth, and prevent social unrest. In the last five-year white papers, the government’s official economic plan, stated that the central government would push for domestic consumption and rely less on exports. Although China’s economy is still growing rapidly, it has slowed down in the last few months, 8.9% in the last quarter of 2011, the slowest pace the nation has ever seen since 2001. Growth decelerated in 2011 when Beijing increased interest rates and regulated foreign investments to prevent the economy from overheating and to tame inflation, a danger that Beijing fears will cause political instability. Chinese leaders changed course and began lending late in 2011 right after the US and European export demand raised the possibly of job losses and social unrest. Chances are Wang and Choliang will not attempt to tighten investment curbs this year to ensure that there is enough money in the market for small businesses and banks to function. It is clear that China faces complex and serious challenges this year partly due to Western nations pressure to appreciate the Reminbi and allow prices to rise. But it is more than likely the new bankers ... Please login to read the complete article. If you already have an account, you can login now or subscribe/register.
Categories: Leadership, Retail Banking, Wealth ManagementLeadership,retail,Wealth Management, Leadership,Retail Banking,Wealth Management, Keywords:Wang Hongzhang, Jiang Choliang, Agricultural Bank Of China, China Construction Bank Wang Hongzhang, Jiang Choliang, Agricultural Bank of China, China Construction Bank
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