Prevention Of The Systemic Risk Of Chinese Banking

Study on the systematic risk of Chinese banking, the author brings forward the measures to prevent from systematic risk of Chinese banking (SRCB). Firstly, to the future development, the actuality of management of China bank is no good, in other words, the main characteristics of SRCB are large NPL, low business efficiency, low capability of making profit, severity rate of capital sufficiency, prominence fragility of China bank system, etc. The important reasons of SRCB are lag construction of bank property right, bad quality of economic development and shortage of institution. Secondly, on the basis of foreign experience of advanced theory and method of bank systematic risk, through the demonstration analysis of the SRCB, the author points out that the SRCB is gradually accumulated and need to be carefully dealed with, in order to prevent SRCB from taking place. Finally, by studying the foreign countries experience of bank risk prevention, and with a view to the present status of SRCB, the paper set forth several policy advice to prevent it, which are reconstruct of bank property right, reconfiguration of social credit system, modification of financing system, perfection of bank supervision, construction of deposit insurance, bank risk self-elimination and promotion of bank self-discipline.