The Effect Of Capital Supervision On Bank Risk Behavior

All previous financial crisis, expanding the scope of its influence, must strengthen the supervision of the financial system, especially the banking system. Since the implementation of Basel II, bank capital regulation can effectively reduce the monomer and even extended to the whole banking system risk levels, namely the question of whether regulatory capital effectively, has become a system designer and regulatory practitioners attention and hot debate. On the regulatory capital theory, study the microscopic effect of capital regulation, analyze the impact of capital regulation on the risk of commercial Banks has important practical significance. This article will evolution of international and domestic capital adequacy regulation system as the starting point of research, using empirical analysis method, capital adequacy ratio of our country about the effectiveness of the bank’s risk behaviors affect study.In this paper, the main conclusion:the risk of commercial banks to strengthen and improve control effect with capital constraint, and the more sufficient capital bank, the stronger the consciousness of risk control, the hard constraints for strengthening capital provides a theoretical basis for system arrangement. Capital regulation policy to promote domestic commercial Banks began to attach importance to improve their risk management level, the overall level of China’s banking capital adequacy ratio rising, but it depends on the scale expansion of performance improvement, external financing supplement capital management idea has not changed, pressure on bank capital regulation policy has been on the low side. After2009, with the risk management level rising and stability, Banks will continue to improve capital began to abate, likely regulatory capital arbitrage. In general, the higher level of risk of the bank will take the initiative to consider lowering the level of risk.Policy Suggestions of this article:the whole, most of China’s commercial Banks’ capital adjust to changes in behavior still rely on external regulatory pressure. Regulatory capital and shareholders to the double pressure forced Banks to perform both scale expansion strategy improve business performance, and to choose molecular strategies supplementary capital to boost capital ratios, the traditional development mode and poor risk management concept lead to enlarge scale, high risk for high performance, high financing for capital pattern is still the preferred strategy of Banks’ capital management. At present, the regulatory authorities need to continue to err on the side of, and actively promote the reform of regulatory capital, on the basis of full research and consulting widely, consider to increase the current capital adequacy standards to an appropriate level; At the same time, to guide the Banks to formulate reasonable dividend policy, increase the proportion of internal financing, the rational allocation of risk assets, really improve the level of risk management, further implement the effectiveness of regulatory capital.