Research On The Supervision Of Internet Banking In Our Country

The revolution of information technology based on the computer as well as the wide-spread use of World Wide Web has engendered epoch-making influence in the financial field, and it brought the most convulsive innovation in the banking industry of the 20 century-Internet Banking. The internet banks aim at the whole globe; shoot for everyone in the world as their potential customer. Break through the national limit, they make the financial competition into global competition. The internet banks have brought immense impact to the traditional banking industry; they also have brought huge challenge to the supervision of the traditional banking industry.As to our country, the bank system's management mode and the risk management ability still remain great disadvantages, undoubtedly, the rapid development of the internet banks is an austere challenge to our banking system. The risky characteristic of the internet banks would make the ability of risk management of the Chinese bank framework recede for the specialization and complicacy of the information security technology. If the authorities of financial supervision fail to adjust the supervising methods and the contents, it will threaten the steady function of the financial system. Based on the above contents, this article started from the analysis of internet banking supervision, discussed the risks that our country's banks encountered and the difficulties of the banking system supervision. By researching the internet bank supervision theory, It introduced the appearance of the internet bank as well as the corresponding theory of banking supervision, and the Basel Committee on Banking Supervision regulations of the risk control of internet bank. It elaborately analyzed the difficulties that the internet banking supervision faces, such as law, information security, business development, supervision system and supervision person. It referred to the supervision experience of more mature countries, such as USA, European Countries (Britain for example), and the Hong Kong special district which is familiar with our country's circs, through summarizing the supervising system and the main attributes, it gained the inspiration of effective supervision to the internet banks. To build up the supervising system which is fit for the development of our country's internet banks, from adjusting the supervising system, affirming the supervising director, consummating the supervising method, it analyzed the connotation of theinternet banks risks. This article emphasized the combination of quantitative and qualitative methods, aimed to control the internet banks risks, and it based on the efficient supervision model, indicated that our country's financial supervision authorities should adopt countermeasures which are from three aspects of technology, institution and management to insure our country's internet banks develop healthily and steadily.