The Chinese bank is planning a $12 billion initial public offering of stock this year.

One or more of the four main, state-owned Chinese commercial banks would probably handle the deal, he said.

It was the first major Chinese bank to offer such a product.

If Chinese banks go on making bad loans, the eventual cost will keep rising.

But it is only one step that Chinese banks have to take.

Foreign investors can buy up to 20 percent of a Chinese bank.

"But you'd have to be a fool to believe that Chinese banks are already out of the woods."

The offering is not a first for a big Chinese bank.

Chinese banks have been cutting their credit lines to Europe.

But he wants the deal to give Chinese banks and agriculture time to adjust.