Payment System Risks And Risk Management Research

The payment and settlement system is the indispensable infrastructure of the market economy, which is composed by the capital transferring rules, the payment service's offering organization and the way of realizing the capital's settlement. And, it is also one of the financial arrangements about the realization between liability and assets. In the field of finance, nearly all of the financial activities show the same form, that is, capital's transferring from one section to another. The financial organizations realize their liabilities or assets through the payment and settlement system. In another words, the payment and settlement system is the blood circulation of finance, the critical part of the financial infrastructure, and the essence means of financial service. From the early 1980's, the central bank and commercial bank of every country in the world were more and more aware of the importance of the payment and settlement system, and put more attention on the construction of it.We all know that, the efficiency of the payment and settlement system is related with the economic development, financial and social stability. If the risks of the payment and settlement system break, the destruction will be unbelievable and immeasurable. To all participants of the payment, they all hope to avoid any risks. But, totally without risk is an unreasonable thing. So, realizing and controlling the risks of the payment and settlement system is the premise of the safe and reliable running of payment.In general, the risks that the payment and settlement system is faced with can be classified into eight kinds. They are credit risk, liquidity risk, systematical risk, designing risk, technical risk, cheating risk, time difference risk, and legal risk. These risks could come from all parts of...