financial deepening is based on the equilibrium between regulation and competition. Under planned economic system,the government controls financial system,and couses private governed bank repression. The market economy reform enforce conflict about financial system to economic instituion. Develop private bank is combined with financial deepening,also to perfect the financial infrastructure. In view of competition,private banking can be more competive in financial system,and be helpful for the reform of state ownship banks . No doubt,financial fragility means that the entering of private bank need restructure financial regulation.