Essays on banking and finance in China

The Chinese economy has grown at a spectacular speed during the past three decades while the financial system is not well developed in China. On the one hand, the informal financing channels, i.e. borrowing from family members, friends, moneylenders, trade credit, etc., may provide proper financing for the firms in China. On the other hand, the increasing intensity of banking competition may also enhance the access to finance in China. Chapter 1 introduces the Chinese economy; Chapter 2 shows the effect of trade credit on the export in China; Chapter 3 shows the effect of informal finance on the microenterprises in rural China; Chapter 4 shows the effect of co-funding on the growth of private firms in China; Chapter 5 shows the effect of the banking competition on alleviating the credit constraints of Chinese SMEs. The thesis basically supports the enhancing role of informal finance and the necessity of increasing the banking competition in China.