The Analysis On The Banking Related-party Transaction And The Suggestions On Its Risk Mangement

Since the integration of banking operation and commercial banks reforms, banking related-party transactions have become the prevalent issues. The authority has focused its attention on the risk management of the related-party transaction. It is urgent to modify the legislation system, administration system and the self-control system to prevent the risks of the related-party transaction in banking system.The dissertation is divided into five parts. First, the theoretical and empirical purposes of the research on the banking related-party transaction were briefly illustrated. Second, the banking related-party transactions were introduced based on various principles, the unfair banking related-party transactions and the risks were also introduced. The damages caused by the unfair related-party transactions are considerably huge; therefore, it is of significant importance to improve the regulation and self-management system towards more efficient one. Third, the scales and features of the banking related-party transactions in China were analysed, which suggested to be large scale and complex; therefore, the management on the banking related-party transactions and the risks are of increasing importance. Fourth, the main problems on the risk management of banking related-party transactions are identified in the legislation system, the administration system and the self-control system. Fifth, suggestions on improving the risk management on the banking related-party transactions are given. Specifically, the entail system should be improved, the sanction on the unfair banking related-party transactions should be more strict; the cultural in banking system should be constructed as obeying the principles perfectly.