Research On Commercial Bank's Green Credit Legal System

In recent years,protecting the ecological environment through an effective green economy system has become the theme of China's new era.Green credit,an kind of environmental protection economic tool,is developing rapidly.Its core purpose is to control the pollution of enterprises from the source of capital by using commercial means such as credit distribution under the guidance of national policies.However,commercial banks have a profit-seeking nature in practices,and there are also general pressures on the burden of risks.This has led China to clearly put forward the concept of "green credit" in 2007,and the expected environmental protection goals have not been fully achieved.Therefore,this dissertation proposes to improve the green credit legal system of commercial banks from two aspects of the incentive and the constraints.The operational connotation lies in that,in order to achieve the goals of sustainable economic and social development and environmental protection,financial regulatory authorities such as the China Banking Regulatory Commission are in accordance with regulations,assisted by the ecological and environmental departments and financial departments,which will provide commercial banks with guiding incentives and mandatory constraints to ensure the effective operation of green credit.On the one hand,the economic incentive system is an important driving force for the development of green credit.But at present,there is no practical and feasible incentive measures.This dissertation stipulates the specific operation of four kinds of incentive means,such as the fiscal interest deduction system,energy saving and emission reduction guarantee fund system,credit award system and green credit refinancing system,and puts forward preliminary ideas:A differential interest rate subsidy should be provided to commercial banks,and the credit guarantee should be provided for borrowers to apply for loans from banks.The use of environmental administrative incentives and the provision of green credit refinancing by the Central Bank can guide and encourage commercial banks to expand credit supply in the energy conservation and environmental protection fields.On the other hand,the constraint system has a deterrent effect on commercial banks.In the face of the inconsistency of risk assessment criteria for the environment and society,and the absence of building for assessment agencies and assessment capacities,this dissertation proposes that relevant government departments should take the lead to formulate unified risk assessment cfiteria,and set up a full-time risk assessment department at the national level and within commercial banks to improve the risk monitoring process.However,there are some certain complexities and technical difficulties in the formulation of criteria,which should be gradually explored through the development of a guideline for the integration of environmental protection industries.Through investigation,it was found that when commercial banks in China implemented green credit business,they did not fully understand the importance of establishing a stakeholder interaction mechanism.Therefore,a stakeholder complaint system should be established to circumvent stakeholders by using public participation to avoid financial risks since stakeholders could resist borrowing enterprises and projects.In addition,it is necessary to allow commercial banks to face the possibility of bearing unfavorable economic consequences through early receipt of deposits,and banks should make risk compliance commitments and environmental protection commitments,and be supervised for the real implementation of their supervisory responsibilities in their credit operations.In summary,the joint efforts of pressures and powers can increase the enthusiasm of banks to implement green credit,and ensure that banks will give priority to the allocation of economic resources to energy-saving environmental protection enterprises in order to achieve sustainable development of the environment and the economy.