Study On The Supervision System Of China Nongovernmental Finance

As the supplement for the regular finance, the nongovernmental finance has made anoutstanding contribution to our economic development and brought about a great advance inthe development of our small and medium private enterprises. However, over a long period oftime, the nongovernmental finance is not approved by our laws. Therefore, our governmentuses the method of attacking and banning on nongovernmental finance, and the guidance andthe supervision on it are neglected, which compel the nongovernmental finance to operateunderground with a rising financial risk.This paper, viewing the standardization of the nongovernmental finance development asits core, conducts a systematic study of legislation and supervision on the nongovernmentalfinance in China. In combination with previous studies at home and abroad, this paper gives anew definition and connotation to the nongovernmental finance. By means of the comparativeanalysis, this paper summarizes the systematic advantages of the nongovernmental financeover the regular finance. On the basis of the above-mentioned analysis, this paper makes anintroduction to the present situation, the main forms and the characteristics of thenongovernmental finance development in China, and analyzes its positive and negativeinfluence on our economy. Besides, this paper analyzes the existing problems of legislationand supervision on the nongovernmental finance. The imperfection of legislation concerningthe nongovernmental finance leads to the lack of its legal place, the lack of reasonable andeffective guidance, and the lack of sound supervision and auxiliary measures, which pointsout the necessity of the standardization of the nongovernmental finance. Furthermore, throughthe analysis of legislation and supervision systems concerning the nongovernmental financein USA, England, Japan and other regions, it is found that the countries with developednongovernmental finance market almost entrust a definite legal status to nongovernmentalfinance, provide the support policies for nongovernmental finance, and supervisenongovernmental finance in terms of different types, which supplies references to theestablishment of nongovernmental finance supervision system in China. Finally, this paperproposes that a legal status should be entrusted to the nongovernmental finance, and thefinancial supervision system should be established including legislation, supervision andguidance for the sake of the better development of the nongovernmental finance and the orderly operation of our society and economy.