Legalization And Regulation Of Lending Between Non-financial Enterprises

With the rapid development of China’s market economy, the contradiction between supply and demand of funds in the financial market has become increasingly prominent. Many enterprises face a dilemma of financing difficulties and expensive, which results in that the scale of regional and informal borrowing continues to expand, and thus lead to the deep legal issues of the validity determination on transfers of funds remaining places between non-financial enterprises. At present, China took the attitude to ban the lending behavior between non-financial enterprises, but the current law also doesn’t clearly deny the lending behavior between non-financial enterprises. Gradually the courts at all levels realized the disadvantages and limitations of a total ban the lending behavior between non-financial enterprises, so judicial practice increasingly tacitly approved the lending between non-financial enterprises. The change of the native concept and attitude becomes an inevitable choice to adapt to the development of the market. Now in mostly developed countries, the non-financial enterprise lending behavior had been allowed in different ways, which can be said to allow the non-financial enterprise lending is the general trend.Therefore, basing on the present summaries of the non-financial enterprise lending issue, this paper analyzed China’s current relevant legislation about the non-financial enterprise lending and discussed the legitimacy of the non-financial enterprise lending. In order to construct the non-financial enterprise lending system which suit for the development of our country economy, combined with the current situation of our law, this paper referenced to the related systems of the oversea economy developed areas, especially the American non deposit taking lending system and Hongkong "MLO". The system mainly includes registration system, market access and early warning mechanism, the establishment of supervision system, and basing on these to establish and perfect the related legal system, to perfect the "company law", to publish "lending regulation", to modify the "General loan" and to improve the credit law. All of the above are to provide the legal protection for the healthy development of the non-financial enterprise lending within the expected risk.