The Impact Of Short-term International Capital Flows On The Stability Of China's Banking System

Since the collapse of the Bretton Woods system,the world economic form has undergone tremendous changes.Economic integration,financial globalization and liberalization have been developing continuously.The most obvious economic phenomenon in this trend is the large-scale transnational flow of capital.With the rapid development of global capital markets and derivatives,as well as the release of capital account capital in emerging countries,capital flows are increasingly showing short-term trends,and short-term international capital is becoming larger and larger in global capital flows to become an important part of the global economic development and international financial markets.The increasing scale of international capital has brought great vitality to the global economic development.International capital has brought a lot of money to developing countries,which has led to the development of economic and technological progress of developing countries.However,international capital in a positive role,of excessive capital flows,also caused short-term instability in the financial system,leading to a country's most serious economic crisis.In 2005,short-term international capital has been continuously entering China.Short-term international capital flows have become the focus of our financial system,and have had a great impact on the formulation of monetary policy and the security of the financial system and even the national security.Commercial banking system as the core of monetary capital flow,is an important part of China's financial system.Therefore,it is very important to study the internal mechanism of short-term international capital flow to the stability of China's commercial banking system.The policy instruments to deal with short-term international capital flows are of great significance to ensure the healthy development of China's banking system and economy.This paper mainly analyzes the impact of short-term international capital on the stability of China's banking system.First,it analyzes the characteristics of short-term international capital and the path of inflow into China,and then calculates the size of short-term international capital flowing into China.Secondly,it studies the theory of bank stability.And the factor analysis method is used to evaluate the stability of the bank.Thirdly,the author analyzes the internal influence mechanism of the two,and analyzes it with the case.Finally,to advise on the management of short-term international capital.