Research In GATs And China's Regulation Of Opening Of Bank Card Settlement Market

With the increasing proportion of China's economy accounted for the world economy, the RMB becomes increasingly important in payment market, the huge potential of payment and settlement market of China appeals to the United States and other developed countries. After the ‘China-Certain Measures Affecting Electronic Payment Services' case in WTO, China is forced to open payment and settlement market to the foreign bank card organization. Due to the special nature of the financial services industry, to strengthen safety supervision has been the international common practices.Considering the late start and weak regulation conditions of China payment market, opening of market will face the risk of competition and the risk of information security. Therefore, China needs to strengthen the research of GATS rules; draw lessons from foreign countries' prudential supervision system and measures, then construct China's supervision system on the basis of prudential supervision of foreign bank card organizations. Therefore, the article focuses on the regulation of GATS and the supervision of China's payment and settlement market of bank card. Research methods used in this paper are case analysis, comparative research analysis and theoretical analysis.This article starts with a brief introduction of the case. Through the interpretation of DSB report of the electronic payment case, this article discusses whether China's relevant measures violated the relevant opening market under the GATS such as market access principle, national treatment principle, transparency principle, explaining how the WTO tried to promote service trade liberalization. It also reflected the failing to give enough attention to the principle of gradual liberalization for developing countries. Then the article introduces the bank card market clearing process and its characteristics,warning the competition risk, information security risk after the market opening.Based on the rules of GATS and the annex of financial services, this article analyzes the connotation and development tendency of prudential carve-out clauses and the international practice of the use of this clause, trying to get on the enlightenment to our country.Last, this article suggests to perfect regulations of China's bank card settlement market from two aspects: on the improvement of the domestic legal system of regulation, this article suggests to confine the regulatory body, to enlarge the object andcontent of regulation. In dealing with the foreign capital bank card organization, China can make use of principle of GATS progressive liberalization opening of the market,make use of the prudential carve-out clause on the regulation, to implement dual licensing system, to emphasis on home country regulation, and to strengthen regulatory information communication referring to the experience of international organizations. Finally China should take part in regional and global negotiations actively, striving for the benefit of new rules on international trade.