The Development And Supervision Of Mobile Banking Service In China

In1996, Czechoslovakia introduced the world’s first mobile banking service. Subsequently, commercial banks around the world have launched mobile banking. Now, after nearly20years of evolution and upgrade, mobile banking has grown to be a very common financial serviee supplied by financial institutions.Globally, mobile banking started earlier in Hurope and America, but it has not yet become a mainstream method of payment due to the traditional consumption habits. In Japan and South Korea, mobile banking is pretty mature and has a high user acceptance. Mobile banking in Philippines and Kenya, relying on well-developed retail network, has broaden access to financial services for low-income people.Mobile banking in our country arose in1999. In recent years, due to the introduction of3G networks, the popularity of smart phones and the promotion of relevant policies, mobile banking in China has been experiencing a stage of rapid development. Commercial banks, mobile operators as well as third-party payment enterprises have introduced more convenient and personalized mobile banking products to capture the market share. Especially in the field of mobile payments, the competition is fierce.With respect to the repaid development of mobile banking, the supervision lagged behind in our country. As a new type of financial services, mobile banking with its unique risk and safety issues need proper supervision. Therefore, it is urgent to analyze the current regulatory status ol China’s mobile banking, and propose effective improvement proposals.This article analyzes the current status of the development and supervision ol domestic mobile banking. Then it points out that there are still many regulatory loopholes of China’s mobile banking at this stage, such as imperfection of mobile banking regulatory legal system, poor coordination among the regulatory authorities, lack of information disclosure and financial consumer protection. At the end of the article, based on the regulatory experience of mobile banking in other countries, the author puts forward suggestions to improve the mobile banking supervision so that it can not only effectively control the business risk and protect the industry develop stably, but also build up fair competition principles and create a healthy competitive environment for mobile banking.