Chinese banks in the process of geoeconomic fragmentation

https://elibrary.ru/XAVLUA

Abstract

The article examines the role of Chinese banks in the process of geo-economic fragmentation. With the development of the global economy and increasing integration, China is becoming an increasingly active participant in international economic relations. One of the key instruments of its influence are Chinese banks, which are intensively expanding their activities outside the country. The analysis of the performance indicators of Chinese banks allowed us to draw the following conclusions: China's financial openness index continues to show negative values, so further reforms are needed to eliminate restrictions; China's FDI has a jumpy downward trend, however, the geographic structure of FDI indicates the opposite; China's trade balance is high (3.86 percent of GDP in 2023) compared to the world average in 2023, which was -4.43 percent of GDP; foreign bank assets in China account for 2 percent of the total assets of Chinese banks, and therefore China continues to remain a closed market for foreign banks; the Z-score indicators of the Chinese banking system exceed the world average by 8.54 index points. for 2023; the capital of the Chinese banking system has a positive growth trend; the interest rate on loans in Chinese banks is one of the lowest in the world (from 2017 — 4.35 percent).