The Research About China’s State-owned Commercial Bank Supervision

Since the1980s, with the gradual relaxation of the world financial regulation, rapiddevelopment of modern information technology, innovation of financial products especiallythe financial derivatives, regional and even worldwide financial crisis has repeatedly frequentoccurrence. Events such as the debt crisis, the U.S. savings and credit crisis, sub primemortgage crisis, the bankruptcy of Iceland, Greece debt crisis, which all show the bankingindustry is facing more and more types of risk. Have a negative effect and negative impactson sustained economic development of countries around the world. On the new economicsituation and technical conditions, How to conduct a comprehensive and effectiveconsolidated supervision, has become a common topic in the world.In this paper, the relevant theoretical interpretation of China’s state-owned commercialbanks and their regulators, Clarify the basic concepts such as state-ownedcommercial banks and bank supervision, A comprehensive exposition of the developmentprocess of China’s state-owned commercial bank supervision. On the basis of thecomprehensive analysis of the regulatory elements of China’s state-owned commercial banks,Pointed out the main problems in the supervision of commercial banks in China. To sumup, there are six major problems, including Supervision and regulation system laggedbehind, incentive and restraint mechanism is not perfect, the urgent need to raise the quality ofsupervisory staff, bank information disclosure to an urgent need to enrich, backward meansand methods of regulation, governance structure and internal control system is not perfect.For this reason, further improve and perfect the supervision of China’s state-ownedcommercial banks suggestions, Firstly, to strengthen the internal control system ofstate-owned commercial banks; secondly, to strengthen the role of China’s banking regulatorybody; the last is to establish a good market constrained environment.