The Discussion On The Cause And Treatment Mode Of The Iffy Commercial Banks In China

The iffy commercial banks, opposite to healthy commercial banks, are those banks who are in danger of squeezing to cash in and bankrupting because of operation failure or paroxysmal matter. It has important realistic meaning to do research systematically on the cause and treatment mode of the iffy commercial banks in china under the background of defending and dissolving financial risk and protecting its stability. The paper defines the correlative conceptions on the iffy commercial banks, analyzes the relationship with the stability of banking system and points out that the iffy commercial banks have their morbidity and behavioral character and their diagnosis should be considered comprehensively. On this basis, the paper describes the present, characteristic and behavior of the iffy commercial banks in china, and analyzes further their general and real reasons paying attention to the completeness arid firmness.As an application research, the paper lays the emphasis on solutions, that is, treatment mode. Firstly, It uses international mature experience for reference, including the treatment body and function, capital arrangement and treatment pattern and so on. Secondly, it discusses further treatment mode in principle, mode and measurement, and summarizes the bugs of present treatment mode: the mechanism controlled only by central bank, comparative singularity of treatment mode and ways, unfair and inefficient treatment course. At last, It points out the solutions to perfect the treatment of the iffy commercial .banks in china: improve controlling mechanism to find out problems in time, promote treatment mechanism to solve them on time and perfect defending mechanism to reduce problems.