Chinese Banking Sector's Challenges and Prospects During the "New Normal" Period

This paper examines the evolution of China’s banking sector in the context of slowing economic growth and explores what challenges the sector faces during the “New Normal” period. For the most complete understanding of the problems faced by the Chinese banking system, the process of the formation of China’s banking system and its theoretical foundations are analyzed from a historical perspective. The root causes of the formation of a “New Normal” in China are considered and the Chinese specificity of this phenomenon is highlighted. Then, the impact of macroeconomic conditions in the period of "new normality" on the Chinese banking system is assessed and the policy measures taken by the Chinese authorities to emerge or worsen as a result of the adaptation of the sector to slower economic growth are determined. The paper also compares the banking systems of China and Russia, reviews the history of their cooperation, and develops tips on how to adapt the experience of the Chinese banking sector to solve the problems existing in the Russian banking system.