Thirty Years of Turbulence - Chinese Enterprises

作者：admin  点击次数：5  发布时间：2026-05-04

The bank opened on September 29th, and Fang Peilin posted a more favorable and flexible deposit and loan form on the door: long-term deposits with a monthly interest rate of 1.2% and settlement for more than three months; Temporary deposit with a monthly interest rate of 1%, available for deposit and withdrawal at any time; The monthly interest rate for the loan is 2%, depending on the situation. His bank opened the next day, and the local Agricultural Bank came to inspect and seal it. Fang Peilin had to take off the sign, and later he joked to himself, "The first private bank in New China actually only saw one day of sunshine

The bank was sealed off, and since then, Wenzhou's private finance has been forced to go underground. According to the financial policy at that time, domestic banks were not allowed to issue any loans of any nature to private enterprises. Private owners were unable to obtain financial support from legal channels and were not allowed to establish private banks. Shortage of funds became a very acute problem. In such a situation, Fang Peilin's banking business has never stopped. It has obtained the tacit approval of the local town government and can boldly engage in financial services in the local area. However, on the other hand, it has never been recognized by the higher-level bank and is in an illegal state according to the law. Fang Peilin later made multiple requests to the higher-level government in order to obtain formal identity. In 1986, the Wenzhou branch of the People's Bank of China tentatively wrote a report to the head office. On November 7th, a telegram signed by the then governor Liu Hongru replied: for private banks, please follow the provisions of the Interim Regulations on Banking Management of the State Council and cannot issue a "License for Operating Financial Business".