CHINA> World Recovery
    CBRC: Greed at root of global banking woes
    By Chen Jialu (China Daily)
    Updated: 2009-09-11 10:52

    With the world economy still in the shadow of the financial crisis, financial supervision and the security of the financial markets will prove a heated topic at this year's Summer Davos in Dalian.

    CBRC: Greed at root of global banking woes

    Liao Min, chief spokesperson of the China Banking Regulatory Commission (CBRC), told China Daily of the lessons that the Chinese banking industry needs to learn from the global financial crisis.

    Addressing the fatal flaws that led to the breakdown of the banking system, Liao said: "The banks have a good framework for corporate governance. However, problems come from implementation in practice, for example, some people sitting on the boards of international investment banks and commercial banks lack adequate expertise in market risk and structured products risk management; and the incentive and compensation scheme also needs to review."

    Liao also maintained that many of the financial derivative products were too complex, far in excess of the real needs of any economy. The only purpose of these products, he said, was to ensure financial institutions made money, instead of providing any genuine wider economic benefit.

    He said: "The largest part of wealth of some nations was accumulated in the financial system, instead of in the real economy. The deep-rooted reason of this financial crisis lies in the avaricious nature of a number of people. That is one of the reasons why we need effective banking regulators."

    Believing that the Chinese banking industry is better positioned than most to weather this financial storm, Liao said: "Compared with some Western banking supervision and regulation, we have adopted a very good framework. Our banking philosophy is very straightforward. We aim to ensure that everything is basic, simple and useful.

    "We also have the added insurance of having a 'firewall' between the capital markets and the banking system. This is expected to help the Chinese banking industry emerge from the economic downturn relatively unscathed."

    Special coverage:
    CBRC: Greed at root of global banking woes Summer Davos 2009

    Related readings:
    CBRC: Greed at root of global banking woes CBRC to stick to rules on mortgage for second home
    CBRC: Greed at root of global banking woes CBRC urges enhanced management against possible financial risks
    CBRC: Greed at root of global banking woes CBRC tightens regulation on wealth management investment
    CBRC: Greed at root of global banking woes CBRC will try to rein in risk
    CBRC: Greed at root of global banking woes CBRC may stiffen rules

    Despite the severity of the international situation, Liao said he didn't think the financial crisis would retard the progress of China's financial innovation.

    "We always try to strike a balance between risk management and financial innovation. There is no contradiction between innovation and risk management. Whenever we need to more effectively manage a risk, we need to innovate more successfully," he said.

    Whilst many feared that extensive lending in the first half of this year would lead to a possible increase of non-performing loans over the next few years, Liao remains optimistic. He said: "In terms of capital adequacy ratio, loan loss provisioning and profitability, we are still in a very good shape."

    "Up until now, China's GDP has maintained a relatively stable and rapid growth. I believe the commercial banking institutions will contribute substantially to the sustainable recovery of China's economy."

    Starting from the fourth quarter of last year, when the impact of the global financial crisis was first felt in the Chinese economy, the CBRC called on commercial banks to strengthen and better their risk management, continue to support economic growth, and to back those businesses that were fundamental healthy, but temporarily in trouble due to impact of global financial crisis.

     

     

    亚洲日韩精品无码专区网站| 日日麻批免费40分钟无码| 久久亚洲AV成人无码电影| 中文字幕精品一区影音先锋| 免费无码一区二区| 日韩AV无码中文无码不卡电影| √天堂中文官网在线| 日韩精品无码永久免费网站| 无码无遮挡又大又爽又黄的视频 | 亚洲AV无码成人网站久久精品大 | 中文字幕AV中文字无码亚| 久久久久亚洲av无码专区喷水 | 亚洲av中文无码| 中文字幕无码乱人伦| 精品无码国产污污污免费网站国产| 中文字字幕在线中文无码| 惠民福利中文字幕人妻无码乱精品| 中文人妻无码一区二区三区| AAA级久久久精品无码区| 久久av无码专区亚洲av桃花岛| 亚洲中文字幕无码一区二区三区 | 亚洲欧美日韩国产中文| 亚洲人成国产精品无码| 日韩经典精品无码一区| 免费无码婬片aaa直播表情| 国产成人无码精品一区在线观看 | 无码人妻AV免费一区二区三区| 久久久无码精品亚洲日韩京东传媒 | 内射无码午夜多人| 国产a v无码专区亚洲av| 国产午夜无码视频在线观看| 久久精品aⅴ无码中文字字幕不卡| 亚洲一区AV无码少妇电影☆| 无码任你躁久久久久久老妇App | 免费A级毛片无码无遮挡内射| 最近中文字幕高清字幕在线视频 | 欧美精品丝袜久久久中文字幕| 人妻少妇精品视中文字幕国语 | 人妻少妇AV无码一区二区| 精品欧洲av无码一区二区14| 东京热人妻无码一区二区av|