The Legal Regulation And Risk Control Of Cross-Border Interbank Payment System

As the policy of One Belt and Road's implementation,the success to join the SDR,and a series of measures to accelerate the process of RMB internationalization,cross-border payment has been entered a new stage of rapid development.Depends on the High Value Payment System which regarded as the core of CNAPS,the model of clearing banks,corresponding banks and NRA accounts have played a crucial role in promoting the RMB cross-border payment business during the early stages.However,due to the system designbasis for HVPS are domestic payments,there are many aspects incompatible with RMB overseas payments,such as operating rules,risk prevention and legal regulation.Therefore,the CIPS came into being,for it opened up an independent high-speed channel,to solve the traditional models of which is not suited.Nevertheless,without the perfect legal system and the rules and regulations applying for payment systems,there is the uncertainty of law which would cause serious legal risks.Based on this,it is very necessary for us to make a comprehensive legal interpretation of the cross-border payment system,especially on the system operation mechanism,applicable norms,basic risk prevention,the finality for settlement and other several important aspects.Hence,this paper intends to elaborate the basic legal norms and risk prevention of CIPS,which shows that it is superior to the traditional models,and makes perfect reflection on its existing problems.In the article structure,through the second and third chapters of the CIPS basic rules of a comprehensive analysis,in response to the first chapter of the traditional models revealed the problem.Details as follows:Chapter one is to make a basic analysis of the traditional models of RMB cross-border settlement.Firstly,make correct understanding of payment system.Secondly,by summarizing the operation mechanism of traditional cross-border settlement models,it focuses on the shortcomings of the three modes with HVPS as the core,including running rules,legal regulation and risk prevention.It shows that CIPS is the necessity of system establishment.Chapter two elaborates the arrangement of rules and applicable norms.Firstly,comb the legal system of CIPS,including the operation rules.Understand the operational mechanism of CIPS,explain its function for the traditional models to improve.Secondly,on the basis of the above understanding,make the correct understanding of the legal nature of CIPS,clarify the subjects of legal relationship and also the rights and obligations.This chapter for the description of the legal norms to arrange payment system is the premise and basis of risk analysis.Chapter three is to discuss the risks of CIPS.Firstly,it shows that cross-border payment system dilemmas on risk prevention,focuses on the improvement of credit risk and liquidity risk prevention and the shortage of legal risk,especially the payment finality.Secondly,find the trouble forming reasons and put forward some feasible suggestions.Draw lessons from the dollar interbank payment system rules and risk management measures.Finally,strengthening risk supervision is essential for risk aversion.Take supervision agency as the core and consider the regulatory model for China from the view of regulatory authorities.