Dr. POON Che Cheong2012-10-042012-10-0420129789881844538http://hdl.handle.net/20.500.11861/832Recently, microfinance has become one of the most important mechanisms for providing financial services to low income households, and credit unions have been considered to be the major microfinance institutions in many developed as well as developing economies. This paper will seek to identify and explain the characteristics of the credit union industry in China, Taiwan, and Hong Kong. It begins by providing an historical account of the Chinese low income households’ credit needs and their alternative means of weathering financial crises, the objective of this section is to capture the evolutionary features of the informal financial system in the Chinese economy. Sections 2 to 4 will discuss the credit union industry in China, Taiwan, and Hong Kong respectively, the focus of the discussions is on the supply and demand for microcredit. The final section will be devoted to the analysis of the common and distinct features of the credit union industry of these three economies after the recent global financial, and recommend ways to develop a comprehensive microfinance system suitable for Chinese people in the hope to reduce poverty and promote employment.enWorking Paper