Study On China's Legal System Of Green-credit

Brought by the industrial production, the environmental pollution and the ecological damage have been nibbling the human civilization to death. Facing the serious environmental crisis, people have to focus on how to control the behavior of Pollution In environment. However, to wing to the serious situation of the environmental crisis and the inability of the existing legal system additionally, people have to seek a new system to regulate people's behaviors. For that reason, the green-credit policy system is introduced into the environmental field.Nowadays, in view of the importance of corporate social responsibility,sustainable and the construction of the resource-economical and environment-friendly society development, as well as the perspective of environmental risk management, international financial institutions have changed their criteria in the former times to the present to take the attitude of environmental responsibility, and lately policy-makers and commentators have increasingly felt that private financial institutions should similarly pay more attention to environmental issues. Generally, private financial institutions, especially banks, have played the important role in the development finance, and can be important stakeholders in the transformation to an ecologically sustainable economy. The traditional role of banks is as financial intermediaries for the receipt of deposits from clients and deploying such deposits by way of loans and investments for development and consumption purposes. Banks play a crucial role in market economies through the mobilization of financial resources for development. It is through their lending decisions that banks wield their greatest impact on the environment. By monitoring environmental practices of their borrowers, banking institutions could play a pivotal role in how corporate environmental policy is implemented. And also green financing can be advantageous to banks through the creation of new business opportunities. A minority of banks are now developing new products such as ethical loans specially designed for environmental business to capture new market opportunities associated with sustainability and to generate additional revenues.The most instructive evidence of the effect of the environmental inspired governmental intervention into financial institutions into financial markets is green-credit law, which is the most effective. Recently, on the contrary of mature green-credit system in many western countries, this system is almost a blank theoretically and practically in China. Therefore, it is necessary to study on this system. Always adhere to linking theory with practice, the author use seven parts as follows to study on the environmental liability insurance system: The first part is an introduction, the next five parts respectively are the summary of green-credit system, rational thinking on it, its difficult situation in China, and improvement measures of this system. These four parts form the main part of this article, linking by a logical line. The last part is a conclusion which is a miniature of the whole paper.