Bank Privatization And Financial Security

1. Backgrounds and MotivesAs our economic and financial system reform are deepening, more and more private capitals are invested in China banking sector. Privatization of the banking system is inevitable. But most of the discussions have neglected the impact the privatization of banking system gives to the financial safety. In this paper, by analyzing how the privatization will affect the financial safety, The author demonstrates that safety precedence giving attention to efficiency is the base value tropism of relative legal system construction.By positively analyzing the experience and legislation practices of the other countries and areas in there banking reform process, some suggestions are proposed.2. Framework and the Main PointsThis paper can be divided into five parts.Chapterâ… gives a general introduction of bank privatization. Firstly, the author suggests that bank privatization is the privatization of the whole banking system, including the introduction of the strategic investors to the commercial banks, the formation of the joint-equity banks with the investment of state-owned capital and private capital and the banks all invested by private capital. Secondly, the author reviews the definition of the financial safety. Materially, the financial safety is the safety of capital financing. Formally, the financial safety is the impossibility of breaking out financial crisis. Finally, the author concludes that financial safety refers to a dynamic safety state, including the safety of financial system and financial development.Chapterâ…¡studies some relative theories regarding the financial...