A Preliminary Study On The Supervision And Cooperation Of Foreign Banks Across The Taiwan Strait

After Kuomintang has gotten the political power of Taiwan in 2008 year again, the relations of economy and trade have been changing positively between Taiwan and the mainland's mainland. Especially When Taiwan and the mainland's mainland has subscribed two agreements of MOU and ECFA, the relations of both party's banking is getting more and more closely. However some differences of management thoughts is inevitably, just because Taiwan banking is different from China's mainland in banking system?market scale and the standard of development. It's very important for cross-strait banking industry to preserve financial order and withstand financial risks. Taking into consideration that cross-strait banking enter opposite party to set up banking institution in the infant stage, this paper mainly discuss the supervision cooperation for cross-strait banking from the market access.This paper is composed of four parts to study the legal problems and advices for cross-strait supervision cooperation of foreign banks.The first party is the necessity mainly of supervision cooperation for cross-strait's foreign banks. With the development of globalization and finance integrations of cross-strait, the risks of banking has overpassed one area and become regional, even global banking risks. Meanwhile the innovations of financial products,competitions from markets and the development of technology also take challenges for financial supervision, so it is significance to supervision cooperation under the circumstance of close relations between cross-strait banking.The second part focuses on the comparison in cross-strait's supervision structure and banking systems. Naturally, these differences result in the difference of market access for foreign banks in cross-strait. The purposes of analysis these differences is for laying the foundation of supervision cooperation in cross-strait's banking .?The third part studies the main contents of United States legal system of foreign banks access supervision. As one of the developed countries in the world, United States has established a detailed, comprehensive review standard of foreign banks access supervision. United States has been mature in the access form, access conditions and supervision cooperation, so we may draw on the experiences from American.The forth part is the ending of paper. Firstly it is mainly the overview of problems in cross-strait foreign banks. Then the paper takes some advices for supervision cooperation in cross-strait basing on the analysis ahead. It is composed of coordination between agreement supervision of cross-strait and Basel agreement, harmony of both party and building-up the resolving mechanism to conflicts and mechanism of information-sharing for precaution the financial risks.