A Study On The Construction Of Credit Signs In China At Present

Credit is the foundation and soul of modern market economy, as well as the precondition for the social and economic order. From the perspective of the economic development of the developed countries, mature market economies usually have a relatively mature social credit system. The western developed countries have already had relatively mature systems regarding credit laws and regulations in place. The systems can be into three types: market-based model, public credit registration and membership model, and oligopoly model. As for China, due to the urgency of building credit system, it is very much in line with our national condition to have the government take a leadership role in building the public credit system.Of course, compared with developed countries, China is facing many problems in building up the credit system of companies:on the one hand, it is imperative to set up appropriate system to protect privacy and share information and study the compensation issues, on the other hand, it is a must to set up an open, fair and just information disclosure system and strict penalty system to expose and punish discredit behaviors. In the long-run, it is necessary to encourage the development of private credit bureaus.This thesis hopes to reveal the international practice of enterprise credit and our practice in China and the reasons behind. Further, the thesis hopes to answer whether the enterprise credit system has any effect, and whether it is effective in preventing and reducing the credit risks. What are the factors limiting the effects of enterprise credit system. The author builds on his personal experience in setting up enterprise credit system along with the People’s Bank of China, and gives an overview of the effects and implications of the enterprise credit system. Apart from that, the author also does empirical study of the effects based on internal statistics and data.In the last part of the thesis, in order to address the issues of laws and regulations, chaotic market order, vague division of labor among different government bodies, the author presents the suggestions to improve current enterprise credit system and policies, including credit laws, regulation, data sharing, standard and competitive mechanism. The author suggests that the whole process of building the enterprise credit system can be divided into three stages:laying down the foundation, improving legislation; cultivating demand, strengthening monitoring; communication, cooperation and competition. The fulfillment of all these goals one by one is contributive to the long-term stable and healthy development of credit industry of China.