The major components of the Chinese financial system as it existed by the end of 1990 are identified. The activities of each component, its relative importance, and the role which each is likely to play in the economy as it develops are discussed. The components of the system include the State Council, the People's Bank of China, the Banking Sector, the non-banking sector, and the financial market. Professor Zhang Yi-Chun and Mr. Ma Mingjia have access to documentation on the development of this financial system which is not available elsewhere.