Research On Legal Issues Of Non-performing Assets Securitization Of Commercial Banks In China

In the supply side of the reform background and related policies,there is no self-sufficient development capacity,relying on bank loans to maintain the "zombie enterprises" must be through mergers and acquisitions,bankruptcy liquidation way to achieve market exit,which means that the entire economy will occur Significant changes,such as industry consolidation,industrial upgrading,corporate mergers and acquisitions,mergers and acquisitions.In this case,it is difficult for enterprises to avoid the outcome of bankruptcy liquidation,so that China's economic situation and the trend of reform will only gradually increase the bank's non-performing loan ratio.In February 2016,regulators held a meeting on the work of non-performing assets securitization,identified the first pilot institutions for the six banks,other banks pilot work is also in the follow-up to promote.Regulators choose to restart the non-performing assets securitization is mainly because there are two,one is China's subprime mortgage crisis in the United States after the outbreak of bailout behavior,China in this rescue movement to bear a considerable part of the funds.And then because of China's economic growth in the past two years there has been a significant decline in the phenomenon,many companies must transition or upgrade.Restoring the securitization of nonperforming assets,in addition to the bank can also reduce the burden can also make banks better to avoid systemic risk.In May 2016,Bank of China and other non-performing assets to support the issuance of securities products,the first batch of products have the following characteristics: First,the issue of smaller,the second is the high mortgage rate,the third is in the packet period have been part of the loan,Reducing the risk of future recovery uncertainty,the fourth is to use the priority and secondary two-tier structure,to truly realize the transfer of risk.The implementation of the securitization of nonperforming assets can help the banking industry to deal with bad assets quickly and reduce the potential risks that banks can not easily find,so that the risk of banking can be sustained.Although the bad asset securitization can effectively make the bad assets of the bank quickly out of the table,but based on China's current legal system and regulatory model,there are still legal issues.This article mainly introduces the following contents:Firstly,it elaborates the research achievements of the theory of non-performing assets securitization,including its concept,its meaning and validity,introduces the participant subject and operation flow of the non-performing assets securitization,introduces the whole process lawsuit relationship.Secondly,it introduces the status quo of the non-performing assets securitization of commercial banks in China and the existing legal problems: the legal order of the existing laws and regulations,the low market participation and the lack of existing regulatory system.Thirdly,it analyzes the successful experiences of the United States,Japan and South Korea,and analyzes the inspiration of these foreign experiences to our country.Finally,we put forward our own opinions and suggestions on the existing legal issues in China's securitization securitization: the introduction of more systematic and high-order laws at the national level;the expansion of the scope of secondary bad assets to support securities investors;To adapt to the current financial innovation.