Regulatory System Of The Bank Of China Building

Finance is the center of modern economics. Because of the inherent frangibility of financial system and financial institution, the limited sense of financial main bodies' behavior and the inherent fluctuating of financial asset prices, there are inherent instability and great risks in financial system. From history to present, people enjoy the welfare of finance, while they have been feeling the loss of financial crisis. Among the various financial institutions, bank is the most basic and important, which causes the financial risks most easily in all of them. After 1980, world economy integration and finance globalization make bank operation and managing ideas, managing means and risk control etc. change unforeseen. At the same time, these sudden changes bring on unforeseen turbulence and crisis to banking with original banking risks. During 1980-1996, serious problems and financial crisis had taken place in 130 countries banking among all the 180 member countries of IMF.Since 1930s, the banking has been one of economic administrative departments most strictly regulated in the market economy countries all the time. Even in the background that economic liberalization ideological trend and various countries economic laissez faire policy generally had been implemented in the evening of 1970s, banking have been advancing along control- relaxed management - control again orbit. Especially since Asian financial crisis, the financial supervision of various countries has been generally strengthened. It related not only with the progress of supervisory technology, but the change and disjoin-combine of supervisory system. The governments of various countries, in order to guarantee the steady operation of the banking system and the stability and social economy and finance, set about to implementing strict supervision and establishing the financial safety network. They hope to correct the market failure, optimize resource distribution, coordinate the interests of social members and promote the social welfare through supervising bank effectively.