Research On Legal Supervision Of Non-performing Loans Of Commercial Banks In China

As a special kind of enterprise, because of the particularity of its business, commercial banks always facing liquidity risk, credit risk, operational risk and other risks.Tho risk of commercial banks will have a significant impact on the normal and smooth operation of the national economy without improved internal control and external supervision system of commercial banks. At the end of the 20 th century, non-performing loans of commercial Banks in China was once as high as 39%. In recent years, non-performing loan balance of commercial banks is growing influenced by the economic downturn. Huge non-performing loans to commercial Banks not only damage their own business operation, but also become unrest continues to the continuously running of our national economy. It will inhibit the development of national economy, and bring huge financial pressure to our government. Therefore, It is very important for ensuring commercial Banks stable operation is of great significance to managing non-performing loans.The main controls on bad loans in China are identify, collect, dispose, cancel after verification of non-performing loans. This article is divided into seven parts. The first part introduces the definition, classification and basic disposition pattern of non-performing loans. Understanding the commercial bank non-performing loans problems existing in the legal surveillance of our country through the analysis of the four links. The second and third part analysis the status and problems of each link of disposal of commercial banks' non-performing loans. The fourth and fifth part expounds our government and financial regulators of commercial banks non-performing loan monitoring policy and meas. Then compared with foreign experiences to draw some referential experiences of our country. The sixth part include the legislation and policy recommendations of establishing and improving the system of commercial bank non-performing loans system. The last part summarizes the full text and the future research direction.