Legal Regulation Of Cross-border Bank Branches

Because of the continuous development of multinational banks and financial integration continues, the legal supervision of branches of multinational banks became into the important issues of financial regulatory reform. Host and home countries continue to strengthen cooperation in the supervision, and the Basel agreement also provides for the effective implementation of regulatory programs. Our country needs to learn all aspects of experience, improve the standard of regulation, and maintain the stability of domestic financial market. This article will focus on the issue of legal supervision of branches of multinational banks.The first chapter introduces the legal essence of multinational banks and the types of their branches. The definition of legal essence of multinational banks has influence on the choice of supervision approach. Different types of multinational bank branches enjoy different legal status Then they have different impact on the host and home countries, so when the countries make their regulations, these factors will be taken into account.The second chapter describes the branches of legal supervision of international banks and their motives. This article explores the national regulation and international supervision. In the national regulation, the host and home country enjoy common causes, but the home country based on its specificity, has a special motivation.The third chapter is an introduction to the host country regulation, including several regulatory systems. Such as the market access system, regulatory framework of capital adequacy regulation and market exit.The fourth chapter introduced home country supervision. In the supervision of home, Consolidated Supervision is important and unique, therefore, the chapter made profound analysis of the meaningn,the subject and characteristics of consolidated supervision.Chapter V is about international supervision. By introducing Basel Agreement and the evolution of regulatory mechanism, the article explored two issues:the relationship of the host country and home country, and the content of international supervision.Chapter VI involves how to improve the legal system of China, the article gave some suggestions, including legislation, the implementation and international cooperation.