Research On Supervision System Of The Financing Guarantee Company

Small and medium-sized enterprises (SMEs) all over the world are all faced with financing difficulty. As SMEs in our country have widespread problems like:small capital scale, weaker credit ratings, weak anti-risk ability and lack of effective mortgage, financial institutions are difficult to fully meet their financing demands. In order to solve the contradiction of high financing demands and financing difficulties, financing guarantee companies that provide financing guarantee for SMEs were born. In the past few decades, the financing guarantee companies had a fast development. By the end of2012, we already have8590institutional investors in financing guarantee industry, the balance of the financing guarantee loans is1.4596trillion Yuan and the balance of SMEs financing guarantee loans is1.1445trillion Yuan. They are playing an extremely important role in supporting SMEs in finance.But with the rapid development of this industry, all kinds of problems are coming. At present, in the process of development, due to the unsound systems and imperfect regulations, all kinds of irregular operations appeared. Financial risks give serious harm to the whole stability and the development of the industry, and even harmful to the security of financial order. The event of Zhongdan-Huading in2012is a wake-up call to us, the event triggered by the crisis worth our attention. How to strengthen the supervision to deal with various problems that may occur, it is the problem of current supervision system need to solve. Although our country has a lot to improve the current relevant regulations, they cannot meet the needs of the rapid development of the industry. Therefore, the study of financing guarantee companies supervision system has become the top priority.In this dissertation, we study the problems in the supervision system of financing guarantee companies. Based on the experience of the foreign financing guarantee company supervision system, we put forward specific measures with reality to improve supervision system of our country. The main content of this dissertation is as. follows:1. It briefly analyzes the financing guarantee companies’legal nature and their necessity of supervision. We believe that the financing guarantee company is a non-bank financial intermediary. In order to develop the industry standard and alleviate the financing difficulties, more to maintain the stability and security of the financial order, it is necessary to strengthen the supervision system of the financing guarantee company.2. We introduce the current situation of the financing guarantee company supervision system of our country. At present, we have Financing guarantee company management interim measures and eight supporting systems. In this dissertation, we make a brief analysis to these systems and other systems in some different places.3. We analyze the problems existing in the supervision system of financing guarantee companies in china. It includes supervision organization, supervision method, corporate governance, risk management and self-supervision and so on. This dissertation argues that, in the aspect of regulators, there are many problems, for example, regulatory body is unknown, regulators related to power and authorization is unknown and lack of regulatory independence. In terms of regulatory approach, excessive regulation and regulatory coexisting phenomenon exist at the same time. In the aspect of corporate governance, we need to improve and perfect the checks and balance, the incentive-restricted mechanism and the evaluation system. In terms of risk management, we have problems like violation of operating risks and compensatory risk. At last, self-discipline mechanism is far from perfect.4. Firstly, we analyze the financing guarantee company supervision system in foreign, represented by the United States and Japan. Then we get the beneficial reference through the analysis and reflection of the current situation of system and supervision. We have the experience that it’s necessary to establishing and perfecting the corresponding system, and improving the mechanism of self-discipline.5. We put forward some suggestions about how to perfect the supervision system of financial guarantee company in china. And we give some strategies about the problem existing in the system and hope they’re helpful to the practice. For instance, in the aspect of regulators, we should a unified regulatory body and clear regulatory responsibilities and strengthen the supervision of regulators. Then it is necessary to strengthen the overall control of the regulatory process. In the aspect of corporate governance, we need to improve the mechanism of responsibility and information disclosure. What’s more, the mechanism of risk sharing and emergency treatment are also need to be improving day by day. Last but not least, we should perfect the financing guarantee company discipline and self-discipline mechanism.