The Present Situation And Problem Of Xinjiang Financial Institution's System Risk

Modern financial institutional innovation is a mcchanism that transfer capital from surplus to deficit by direct financial market and indirect financial mediation using a series of economic financial instruments The classical economists always discuss financial risk and market risk without institution.In fact,there is always institutional risk.This paper analyses the reason why institution brings risk,researching institutional risk of XinJiang , s finance.Firstly,dicussing financial instition risk,including the definition of institutional risk and the kinds of institutional risk.Following,analysing the reasons of institutional risk.Lastly,rasing suggestion to prevent institutional risk.The article includes four parts:1.The general introduction of institutional risk.Firstly,definiting institutional risk. Institutional risk is the no certain which result from the result deviating expected action.Following,describing the institutional risk.Lastly,classifing institutional risk.2.Analysing the institutional risk of XinJiang,s finance.The system of chinese financial organ divectly decides the system of XinJiang,s financial organ.Firstly, .analysing current situation of chinese financial organ.Following, .analysing current insituational risk of XinJiang,s financial organ.3.The reason of XinJiang,s financial institutional risk. The reason of static institutional risk are ownership institution and financial organ,s efficienly.The reason of dynamic institutional risk is that credit relationship become chaos in institutional transform and financial institutional transform is unbalanced.4.The suggestion on how to prevent institutional risk. Firstly,building definite ownership and ecouraged mechanism can prevent static institutional risk.Then,building transparent mechanism to disclose message and changing way of financial transform.