Nanking, Mar. 22 the formation of the Central Reserve Bank of China by the Government will go a long way towards eliminating provincialism, smaliscale credit oan extension and Irrational competition, which characterize the business of Chinese banks, "This is the view of the oficial "Central Dally News" when commenting on. the projected reorgat zation of the Central Bank into the Central Reserve Bank.
'With the establishment of the bank, the journal says, it may direct the attention of the Chinese banks to systematical development enterprises which have an imperant bearing on the peoples' livelihood and the na-that a Paecifle collective security pact would be preferable to a direct Sino-Japanese accord.
Terms of Understanding The terms of the alleged Sino-Soviet understanding were given by the twa dallies as following:
1. 'The Soviet Government gives a pledge to accord no assistance of any kind' to the Chinese Communists.
The Nationalist Government will continue to regard the Communist "sti Issue as @ domestic question, requir- sin. ing no agreement with a third party.
3. 'The Soviet Government' will recognize China's sovereignty in Sin-
Text read from the printed page and cleaned; old type leaves the occasional error.