Hong Kong's banking industry has not been quiet in the past few years, the real estate crisis in '82 and the Hong Kong dollar crisis in '83 have caused the bad debt ratio of the banking industry to soar rapidly, and many banks such as Hengrong, Overseas Trust, Youlian and Kangnian have broken out in crisis. As a result, Hong Kong's banking industry has suffered unprecedented severe challenges in recent years.

By the end of 1986, the total number of outlets in Hong Kong had expanded to 87, and its total assets had exceeded HK$100 billion for the first time.

In fact, Carnival Bank has overtaken Hong Kong's Standard Chartered to become the second largest bank in Hong Kong. It made a record profit of HK$2.89 billion last year and was named the most competitive bank in Asia by The Banker magazine.

Of course, the most important reason why Jiahua Bank, an upstart in Hong Kong's financial industry, has been able to grow thousands of miles by thousands of miles is that it is backed by Li Xuan and Oriental Group. Hong Kong's small and medium-sized banks have had frequent problems in recent years, which inevitably makes ordinary depositors panic.

And Li Xuan's title of "the richest man in the world" just brought a huge credit bonus to Jiahua Bank. For example, the loan-to-deposit ratio of Hong Kong's banking industry has generally been controlled below 55% in recent years, while the Bank of East Asia, which has a more stable style, has only 40%, but the loan-to-deposit ratio of Jiahua Bank is as high as 74.5%.

The loan-to-deposit ratio refers to the ratio of total loans to total deposits of banks, and the higher this ratio means that the bank's liquidity is worse and the risk is higher. The money that banks take in from depositors can only be profitable if they lend it out. Net interest margin on deposits and loans. It is one of the most important sources of bank profits.

However, the money deposited by depositors, even if it is a fixed deposit, can be withdrawn at any time. It's a big deal to give up that bit of interest. And it is impossible to recover the money brought out by the bank at any time. Therefore, if the bank's loan-to-deposit ratio is too high, as long as there is a little bit of trouble, a run on the bank is likely to make the bank have no money to pay, and thus collapse instantly.

Of course, if the bank's credibility is good enough, it is fully trusted by depositors. Even if the loan-to-deposit ratio is higher, there is no problem. Since the 50s, there have been several rounds of runs on Hong Kong's banking sector. Even the former leader of the Chinese-funded banks - Hang Seng Bank. It was also in the run-on crisis of the sixties that it had to be taken over by HSBC.

But HSBC and Standard Chartered, two British giants, have never been involved in any storm. The most fundamental reason for this is their strong strength and good reputation. The people of Hong Kong simply do not believe that there will be problems with these two banks. Rather, when every time a crisis erupts. Everyone will take money out of other banks and deposit it in these two banks as a hedge.

Now, although the scale of Jiahua Bank in Hong Kong is not as large as HSBC, the momentum of catching up is very obvious. In particular, Jiahua has relied on its special relationship with the Oriental Group to share huge dividends in the rapid rise of Hong Kong's electronics industry in recent years.

In fact, Hong Kong's real estate industry has always been the most important component of bank credit, but in the credit structure of Jiahua Bank, real estate companies and individuals account for the proportion of home loans. It has been below the industry average. Because Jiahua Bank chooses to put more money into the industrial field.

For example, with the relocation of a large number of factories in Hong Kong to the north. Jiahua Bank's capital exports to the mainland are also growing rapidly. However, due to the country's closed financial system, especially strict foreign exchange controls and the non-free circulation of RMB, Jiahua Bank's entry into the mainland is still relatively slow.

At present, the vast majority of corporate customers cooperating with Jiahua Bank are Hong Kong enterprises invested in the mainland, or joint ventures with Hong Kong background. The next goal of Jiahua Bank is to prepare to expand its corporate customers in the mainland. The investment in China Merchants Bank is one of the important layouts of Jiahua Bank to accelerate its entry into the mainland market!

"Mr. Li Xuan, congratulations to Jiahua Bank on its market value exceeding 30 billion Hong Kong dollars!" Wang Shizhen, the first president of China Merchants Bank, dressed in a cyan suit and holding a tall glass, stepped forward to greet Li Xuan.

When Jiahua Bank went public at the end of 1984, its initial market capitalisation was only HK$4 billion. But after just two and a half years, the company's total market value has grown to 7.5 times. Such an excellent performance of Jiahua Bank has already become a miracle in the Hong Kong stock market. And more importantly, Jiahua's share price is not seriously inflated, its price-to-earnings ratio is only 10.3 times, and it is even slightly lower than the average of Hong Kong stocks.

Jiahua Bank had an additional issuance before, and Li Xuan's shareholding ratio dropped from 75% when it was first listed to 70%. But the total value of his current shares in Jiahua Bank is still as high as $2.7 billion, accounting for almost one-tenth of his total assets, and it is also the fastest growing part of his name.

"Thank you! I believe that with the rapid development of the mainland economy, the future of China Merchants Bank is also limitless!" Li Xuan politely clinked glasses with the other party and said with a smile. This celebratory banquet of China Merchants Bank learned from the Western-style cold dinner in Hong Kong, but the wine in the wine glass was changed from brandy to Moutai.

"Compared with the giant of Jiahua Bank, China Merchants Bank is still just a newborn child, and it still needs a lot of support from Jiahua Bank!" Wang Shizhen said humbly.

Although the People's Bank of China's approval report agreed that foreign capital can participate in a small amount of shares in the newly established China Merchants Bank. However, it also limited the early days of the establishment of China Merchants Bank, which adopted a unitary bank system without branches.

This newly collapsed bank, with a registered capital of only 50 million yuan and a total of 36 employees, is indeed not worth mentioning in front of Jiahua Bank, which has a total market value of 30 billion Hong Kong dollars.

Although the current business scope of China Merchants Bank is temporarily limited to Shekou Industrial Zone and Nanhu Development Zone, it will not be difficult to break through this restriction after the bank grows to a certain scale in the future.

The potential of the domestic market is limitless in the future. In contrast, the growth space of the Hong Kong market is actually very limited. This is also an important reason why Li Xuan deliberately rushed to Shekou from Hong Kong to attend the opening ceremony of China Merchants Bank.

Wang Shizhen is the host tonight. Naturally, it was very busy. He exchanged a few words with Li Xuan and went to greet the other guests. There were many guests attending the banquet, many of whom were heads of various enterprises in Shekou Industrial Zone. Many of them are Hong Kong bosses.

But Li Xuan actually doesn't have many acquaintances, the level of his social circle is too high, and he usually comes into contact with Hong Kong's wealthy families and capital predators. And those people obviously didn't notice how far this small bank, which had just opened in Shekou, could develop in the future!

The opening reception of China Merchants Bank was not held in a hotel in the city, but was held at the Yuehai Restaurant in Xinnan Town. Of course. The reason why China Merchants Bank chose the venue of the banquet in Guangdong Restaurant this time is because the owner of the restaurant has a lot of cooperation with China Merchants Group.

The dim sum chef of Yue Hai Restaurant. More than 30 kinds of Cantonese dim sum were prepared for the banquet. The income of the masters is obviously very good, and it has not fallen into the reputation of Yuehai Restaurant in Shenhai City recently. Li Xuan stood in the banquet hall for a while and began to focus on the food.

He holds a plate of crystal shrimp dumplings in one hand and a glass of watermelon juice in the other. Then to the corner of the balcony outside the ballroom. I chose a chair and sat down and began to enjoy the bustling crowd downstairs and the scenery of the traffic not far away.

In just a few years, the number of cars on the streets of Shenhai City has increased rapidly. Especially on the Shennan Road not far away, the main road that runs through the east and west, the current traffic flow has been endless.

The current Xinnan Town, compared with more than two years when Li Xuanlai participated in the ribbon-cutting of the RCA-Huaqiang joint venture TV factory, has undergone earth-shaking changes. And the biggest driving force behind this. It is the owner of this Guangdong restaurant and Li Xuan's buddy. Lin Yuhao, the owner of Feihong Real Estate. Li Xuan's college roommate has been working hard in the Deep Sea Special Zone all these years. As a typical representative of patriotic Hong Kong businessmen, he was also co-opted as a member of the Guangdong Provincial Committee of the Chinese People's Political Consultative Conference last year.

The development of the deep-sea special zone is getting hotter and hotter, and urban development is definitely a big piece of fat, so it has attracted more and more forces to come in and grab food. Among them, there are not only those who have crossed the river from Hong Kong, but also those who have come from the province and even from Beijing.

Seeing that the competition for land in the urban area has become more and more intense, Lin Yuhao simply took the lead in starting the strategic transfer. With his relationship with Li Xuan, he has a good understanding of the investment direction of the Oriental Group in Shenhai City, so he was very optimistic about the huge potential of Xinnan Town early on, and was determined to promote its development into a commercial sub-center in the eastern part of the entire Special Economic Zone.

So as early as two or three years ago, Lin Yuhao pulled Li Xuan's eldest brother Li Ke back into the game, and the two began to cooperate to carry out large-scale commercial development in Xinnan Town. Yue Hai Restaurant is actually located in a 15-storey commercial building, and the name of this commercial building is Fei Hung Center. And next to it there is another building, the Kunpeng Center, which is also fifteen stories high.

The two connected twin towers, named after two real estate companies, are the most famous commercial landmarks in the whole of New South Town. The top 10 floors of the two commercial towers are office buildings.

The bottom five floors are equipped with large supermarkets, dance halls, ice rinks, cafes, restaurants and other places, becoming the most fashionable places to eat, drink and play in the entire Xinnan Town. They are also surrounded by commercial buildings such as hotels, department stores, and clothing markets, which together form the core business district of Xinnan Town.

When Lin Yuhao and Li Ke formed a group to acquire land in Xinnan Town, Xinnan Town was still just a small town with only two streets, and the price of land was as cheap as death. But now, with the rapid development of Nanhu New Area, it has driven the development of the entire Nanhu District next to it.

The eastern part of Deep Sea City began to go hand in hand with the western city center. The price of land in Xinnan Town has increased four or five times in just two or three years. Lin Yuhao just reserved a large amount of land in advance, and his net worth increased by more than 100 million.

This is largely due to the economic dividends brought by the layout of Oriental Group in Nanhu New Area. So Lin Yuhao deliberately called him in to play together. One of the two is Li Xuan's friend, and the other is Li Xuan's brother, and the Oriental Group will naturally fully support their development of Xinnan Town.

Oriental Commercial Company chose a large number of its banquets in Yuehai Restaurant. Under the demonstration effect of Oriental Commerce, a large number of other enterprises that have cooperated with it have also chosen the Guangdong Restaurant for business banquets, which made it quickly famous.

In fact, Liu Chang's Chaojiang Spring Restaurant is a successful imitation of the rise of Yuehai Restaurant. Because Liu Chang previously worked in Oriental Commercial, he also knows the background of Guangdong Restaurant very well. After analyzing the reasons for its success, it was decided to open a mid-range Chaojiang Spring Restaurant!

"Hello, can I sit here?" asked a capable man with a straightened head and a Guoman smile on his face, standing opposite Li Xuan.

"Feel free!" Li Xuan nodded at the other party, indicating that there was no problem.

"My surname is Wang, and my single name is a real character! I really didn't hear your accent just now, I don't know where Mr. is from?" the man took the initiative to chat.

As soon as Li Xuan saw the face in front of him, he felt very familiar. And after listening to him take the initiative to report his name, it suddenly dawned on him that this face overlapped with the celebrity in his memory.

"My surname is Li, my single name is Xuan, and I am from Hong Kong!" Li Xuan also introduced himself.

"Mr. Li turned out to be a distinguished guest from Hong Kong, and your name sounds familiar!" Wang Shi said with a frown.

"Hehe, Kenneng is because he has the same name as Li Sheng, the richest man in the world, Mr. Wang should have heard others mention it before!" Li Xuanrao said with interest.

"That's right, you've seen this pig brain, you really have the same name as the God of Wealth Li!" Wang Shi patted his head and said.

Whether in Hong Kong or the deep-sea special zone across the river, Li Xuan's name has long been a household name. But most people in China actually only hear his name but don't know him, and there are only a handful of people who have really seen Li Xuan!

In particular, Li Xuan has become more and more low-key in recent years, and even there are very few positive photos of him in the Hong Kong media, let alone in the mainland. So it's completely understandable that Wang Shi doesn't know him.

"What kind of business does Mr. Wang do?" Li Xuan asked very interestingly, he didn't know whether the famous Vanke Company was established now.

"I'm now in charge of running a foreign trade company that imports scientific and educational instruments, and this is my business card!" Wang Shi took out a business card holder from the inner pocket of his suit, took out a business card and handed it to Li Xuan, "Of course, in fact, except for pornography, gambling, drugs, and arms, we do everything else to make money!"

Li Xuan took the other party's business card and looked at it, which was impressively printed with the words "General Manager of Shenhai Modern Science and Education Instrument Exhibition Center", and the words "Tefa Group" in the brackets below.

The full name of the Special Zone Development Group is the Special Zone Development Group, which is one of the first state-owned enterprises established in the Deep Sea Special Zone. And this Shenhai City Modern Science and Education Instrument Exhibition and Sales Center is estimated to be the predecessor of Vanke. Therefore, Vanke is actually a state-owned enterprise with a strong roots. And Vanke's real focus on real estate should have been in the 90s.

"The order of scientific and educational instruments is a priority, but the business of video game halls has been very hot recently, and our company's biggest business now is to import arcade game boards from Hong Kong, and then assemble them into arcade machines for sale!" Wang Shi said with a smile.

"Hehe!" Li Xuan couldn't help but smile, video game consoles were definitely one of the things that teachers hated the most. This should be the butterfly effect brought by himself, who would have thought that Wang Shi would also sell game consoles.

"Where did you get the goods from?, did you get it directly from Oriental Game Company?" Li Xuan asked with interest.

"No, most of the arcade boards on the side of the Dongyou Company are only exported to the European and American markets! Although these arcade boards we import, although they are also games of the Dongyou Company, they are actually imitation boards of other companies, so the price is cheaper!" Wang Shi shook his head and said.

Uh! The future real estate predator, talking about pirated game boards in front of his own owner, Li Xuan imagined that he was also drunk. However, even for early arcade boards such as "Tank Wars", the wholesale price of genuine game motherboards is still as high as 3,000 Hong Kong dollars after many price cuts by Oriental Game Company. The pirated arcade board of other companies' houses is only priced at 2,000 Hong Kong dollars! )