The Study On Regional Banking Crisis Which Based On Financial Fragility Theory

According to the WTO agreement, China's banking will end the transitional protective period in 2006, all-round opening up. At present, China's banking system reform has entered into a crucial stage. How to change our current banking system to a stable banking system which adapts the demand of market economy in the post-transition period is a pressing issue.The first chapter introduced the theoretical study of financial fragility and defined the concepts of banking crises and regional banking crises. The banking crisis generated by internality of financial fragility. Through analyzing the logical relationship of financial fragility and financial crisis, banking crisis and financial crisis, and systematically analyzing the regional banking crises generated mechanisms, meanwhile theoretically analyzing regional banking crisis negative external issues, and have a significant negative impact on the financial crisis. It can be seen from the empirical testing of China's banking to draw similar conclusions.In order to prevent regional banking crisis, the financial supervision are really essential. Recognition of the importance of financial supervision is being constantly deepened. Whether supervisory philosophy or supervisory means, which have had been greatly developed. However, in actual operation, because of the return, cost and technical means, the concept of supervision restrictions, the excess of financial supervision and the lack of financial supervision are the normal. This paper analysis that the financial supervision is the important method to eliminate the regional banking crisis from the regulatory angle, and a number of problems in the banking supervision which how to led to banking crisis. In the above analysis at analyzing and progressive basis, the papers of the final chapter discussed how to establish financial supervisory mechanism preventing the regional bank crises. This is the analysis of the advice. We put forward some political and technological advice to preventing the regional banking crisis.