Kobulov bahtiyor

Student ID No.: 12920201156893






Final Paper

The legal aspects of commercial banks of the People’s Republic of China and the Republic of Uzbekistan

KOBULOV BAHTIYOR

School/Institute: Law School

Major: International Law
Date of Submission: 24 May 2022
May 2022

INTRODUCTION
In the national economy, the banking system is the most important institution ensuring the overall economic stability and security of its development. World experience shows that the full development of the banking infrastructure gives a decisive impetus to the growth of the national economy. The largest investment resources are formed through banking systems and the states are interested in directing them to the needs of the national economy.
At the same time, the banking system is a global financial institution that inevitably requires the integration of national markets into the global financial system. Most often, such integration is realized by opening banking units (subsidiaries or their branches) on the territory of another state.
The formation of the banking sector, which provides the economy with a basic set of services and acts as the main element of financial intermediation in the process of market transformations, has become a defining direction.
The banking system, being one of the most important elements of the economy of any modern state, has a huge, versatile impact on the life of society as a whole. It not only ensures the accumulation of free funds and their involvement in official circulation, but also is a mechanism for inter-sectoral and interregional redistribution of monetary capital, as well as a key element of the settlement and payment mechanisms of the country's economic system. The smooth and efficient functioning of state bodies and institutions, the development of a sovereign state as a whole directly depend on the state of the country's banking system, on its stability and reliability.
Unlike the Central Bank, commercial banks act primarily as specific credit institutions, which, on the one hand, attract temporarily available funds of the economy; on the other hand, they satisfy various financial needs of enterprises, organizations, and the population at the expense of these attracted funds. Due to this, commercial ones are almost continuously connected with all links of the reproductive process.
This topic is currently very relevant. There are many different commercial banks in Uzbekistan and China that specialize in one service or two. Their main goal is to maximize profits. If a bank is engaged in foreign exchange transactions, it must obtain a license from the Central Bank. These banks also provide loans: consumer, urgent needs, mortgages, etc.
The purpose of this work is to study a commercial bank as a separate credit institution.

The task of the work is to describe and disclose the concept of a commercial bank, its functions (essence), activities and principles.

While writing this work, formal legal, comparative legal research methods were applied.
The study was supposed to solve the following tasks:
1) To study the literature on the research for commercial banks in Uzbekistan and China.
2) Find out the criteria on the basis of which commercial banks are classified in the existing Uzbek-Chinese legislations.
3) To characterize the commercial banks provided for by the legislation of the both states.
To achieve this goal, the material proposed in the work is systematized as follows: in the first chapter, the provisions defining the concept, signs of commercial banks are given, the functions of the commercial banks are considered. The second of the work is devoted to the study and description of the activities of the banks.