The Research On Legal Mechanism Of Financial Cooperation Between China And Central Asian In The Background Of The New Silk Road Economic Belt

As the major economic zone in the middle part of the Silk Road, China and the five Central Asian countries’ progress in economic level and resources intercommunication is directly related to the level of construction and development of the whole economic belt. The common rise and development of national economic are inseparable from transnational circulation of capital, therefore, to improve and safeguard the country’s financial and legal system is the key to promoting their realization smoothly. On the current situation, China’s legal system and supporting framework for financial is still in the reform period, the financial structure is irrational,meanwhile, there are institutional barriers and policy errors in financial reform. There is huge difference in Central Asian country’s financial environment, which Kazakhstan financial environment is relatively more mature, various types of sub-markets are formed basically, various specialized sub-market laws and regulations are more comprehensive. However, the remaining four countries’ financial environments are still in a poor quality state. Even lagging performance such as Turkmenistan has not yet securities market and the other three countries’ incomplete financing conditions exist. Moreover, financial legal system has not yet formed.In the process of achieving goal that the rise of the middle of the Silk Road economic belt, financial cooperation has become basic measures of economic cooperation which including the infrastructure construction, trade settlement system building regional circulation of currency. Motivation was specific: firstly, goods and services trade volume between China and Central Asian countries expanded rapidly, a high level of trade and economic development needs of a broad and solid financial system support; secondly, the RMB internationalization need to expand the scope of the circulation through financial cooperation which has a powerful role in promoting all cooperation of the Silk Road economic belt; thirdly, the financial cooperation as the world economic development trend is conducive to the common interests anddevelopment of parties.Financial cooperation is not only the policy measures of sovereign countries and economies but also the activities of internal reform of the participants, while its requirements for the legal protection mechanism about financial operations within the body are very comprehensive and detailed. According to the research on China and the five Central Asian country’s financial legal mechanisms, we know that almost all countries have loopholes in the system that current legal does not fully cover all acts of domestic financial market players, and the problem of inadequate supervision,lacking of exhaustive and effective protection and punishment provisions on behaviors of financial cooperation. These issues will adversely affected practice for financial cooperation within China and Central Asian countries in building the Silk Road Economic Belt.Based on the above analysis, when building economic belt of the Silk Road with the Central Asian countries, China should be careful in the future to select the appropriate mode of financing, build a higher level of financing platform, and also perfect laws and regulations of the domestic financial market players, reach a consensus about co-regulatory and pooling-of-interest with partner countries of financial cooperation, provide a broader space of financing and cooperation platform for the full development and completion of the Silk Road Economic Belt construction.This article is divided into the following four parts according to the logical relation: the first part introduces the basic theory of regional financial cooperation,and then analyzes the motivation of China and the Central Asian countries financial cooperation, and provides theoretical basis and logical starting point for the post; the second part introduces the current situation of financial cooperation between China and Central Asian countries, and introduces the specific cooperation areas and the existing regional financial cooperation mechanism; the third part analyzes the existing problems in the practice of multilateral and bilateral cooperation between China andCentral Asian countries; the fourth part according to the above three parts offers proposals about financial cooperation legal mechanism construction of China and the Central Asian in the background of the new Silk Road Economic Belt, puts forward general principle and the specific recommendations to deal with the actual problems.