Research On The Governance Structure And Governance Mechanism Of State-owned Commercial Banks

With the abolishment of all restrained measures to the foreign banks by 2006, the state-owned commercial banks will confront with the drastic competition and austere challenges from the foreign banks.At the same time, twenty years passed, state-owned commercial banks have not achieved much effect on reform yet. The state-owned commercial banks still face many problems, such as the administration intervention, lack of proprietors and stimulation mechanism. The financial status has also not got the basic improvement. The management of state-owned commercial banks conceals huge risk.The main reason of these problems is that the reform measures of state-owned commercial banks are still concentrated on the superficial levels, such as hackling the internal and external relationship, introducing advanced management techniques and dealing with the bad assets, and that they don't touch the core problems such as the property right and management system.In order to build up modern banking system and promote the core competency and management, to establish a sound governance structure and efficient governance mechanism is necessary for state-owned commercial banks. It is also the objective requirement of the marketization and internationalization process of Chinese financial system.Based on background above, this paper concentrates on these main topics through theoretical research and case study: When the state-owned commercial banks are reformed, what is the optimum property right structure? What is the optimum governance structure? What is the optimum governance mechanism?This paper is composed of four parts totally.The first part gives the comprehensive description to the theories of corporation governance from the definition, the content and the traditional theories. This is the theoretical foundation of the following parts.The second part makes a contrasting analysis of the banking governance model in the United Kingdom-the United States and the banking governance model in German-Japan. We can absorb the strong points of the two models in the process of establishing the banking governance structure and governance mechanism in our country.The third part reviews the reform process and the governance model transition of the state-owned commercial banks. The author analyzes the existing problems of the state-owned commercial banks, in order to make a foundation to perfect the banking governance.Based on the expatiation of property right reform, governance structure, governance mechanism and external governance environment, the last part focus on the measures how to rebuild and perfect the governance structure and the governance mechanism of the state-owned commercial banks, which is suitable to the basic condition in china.