Regulatory Problems And Solutions Of Chinese Shadow Banking System

Regarding to the reason of outbreak of the2008financial crisis, the internationalcommunity generally believes that the shadow banking system caused the spread of thefinancial crisis and the failure of monetary policy, which makes the concept of theshadow banking system unprecedented attention. Between advanced countries and ourcountry, there is a big gap in terms of scale, product complexity, leverage of the shadowbanking system. In recent years, since the pace of development and the importance of theshadow banking system in China gradually revealed, the scale of which is about27trillion, domestic and foreign regulatory authorities draw much attention to its risk.Reasonable regulation and supervision of the shadow banking system has importantpractical significance for the development of China’s financial stability.This paper uses the qualitative research method, comparative analysis method, acombination of inductive and deductive analysis and other methods. In the first chapter,the paper introduces the components and development of shadow banking system inChina and its influences. In the second chapter, it briefly introduces the regulatorysituation of shadow bank. Then from the aspects of financial regulatory system,regulatory legal system, regulatory objectives, regulatory coordination mechanisms andfinancial innovation describes the regulatory issues faced by the shadow banking system.In the third chapter, it collates and analyzes the international experience in the regulators,supervisory legal system and regulatory measures of shadow banking system. In the lastchapter, combined with the condition of our economy, it put forward regulatoryprinciples and proposals to build the regulatory framework of our shadow bankingsystem, which includes establishment of macro-prudential regulatory framework andprogressive realization of functional integrating regulation, strengthening informationdisclosure and dynamic risk monitoring, improving internal control and industry self-discipline, etc.