The Study Of China’s Commercial Banks Government Regulation In Perspective Of Financial Security

Banking is a high-risk industry which is highly associated with the society. Eliminating the poorly managed banks through market competition can bring about huge social costs, in addition,banking is easy to be monopolized industry, therefore,it become an inevitable choice to regulate the banking.Financial regulation is an important component of government regulation,and effective supervision of banking is one basic responsibility of the world’s financial regulatory department.But because of the characteristics of concealingness.laggingness and infectivity,risk is easily spread between the cross-border in the conditions of financial globalization.In recent decades,a lot of countries’economy suffers severe strikes confront the financial crisis.Consequently, in order to protect our financial security, in-depth study of the causes of the financial risks and the shortcomings of country’s current financial regulation,looking for a suittable set of China’s banking regulatory system,become an important topic in present government regulation research field.The paper put an eye on the theory of financial regulation with the goal to financial security,based on the actual situation of China’s banking regulation,among it making a comprehensive evaluation research on China’s financial risks,striving to reflect regulatory problems of the banking systematically and comprehensively,in order to offer the basis of optimizing the current regulatory system.First of all,the paper defines the financial security and narrates the financial regulation theory,after that explained the relationship between them.At the same time by comparing foreign regulatory systems,point out their respective advantages and disadvantages.Secondly.the paper analyzes the situation of China’s banking and its risk.A financial security evaluation system was constructed and by using it to assess China’s financial risks between2003and2010.Thirdly,the paper analyze status and problems of banking regulation.and draw the conclusion:In the past few decades, although China’s financial regulatory system continue to improve, but the corresponding regulatory legal system remained weak.Finally,the paper put forward some advice to strengthen regulatory system.