CHINA BANKING REGULATORY COMMISSION 2010 Annual Report 中国银行业监督管理委员会 China Banking Regulatory Commission
BRO CHINA BANKING REGULATORY COMMISSION Annual Report 2010
CHINA BANKING REGULATORY COMMISSION Annual Report 2010
中国银行业监督管委员会 Annual Report 2010 Chairman's Statement n About the CBRC Our Mandate, Objectives & Missions Our Philosophy, Approach Criteria 10 Organizational Structure 16 Part One Economic Banking Developments 2 Macroeconomic and financial environment lL. Latest developments of Chinas banking industry Part Two Banking Reform Opening-up 31 . Latest developments in Chinas banking reform I Latest developments in the opening-up of the banking sector Il. Financial innovation and regulation Part Three Implementation of Macroeconomic Adjustment Policies I. Adjusting the pace of credit supply Il. Participating in national policy formulation IV boosting the weak sector Part Four Prudential Supervision 53 llL. Credit risk V Operational and fraud risk supervision V. Liquidity risk supervisio 61 IX. Credit guarantee activities X. Anti-illegal fund-raising
2 Annual Report 2010 Chairman’s Statement 6 About the CBRC 10 Our Mandate, Objectives & Missions 10 Our Philosophy, Approach & Criteria 10 Code of conduct 11 Management 12 Chief Advisor 14 Foreign IAC Members 15 Organizational Structure 16 Part One Economic & Banking Developments 21 I. Macroeconomic and financial environment 22 II. Latest developments of China’s banking industry 26 Part Two Banking Reform & Opening-up 31 I. Latest developments in China’s banking reform 32 II. Latest developments in the opening-up of the banking sector 37 III. Financial innovation and regulation 40 Part Three Implementation of Macroeconomic Adjustment Policies 43 I. Adjusting the pace of credit supply 44 II. Supporting economic restructuring and industrial upgrading 44 III. Participating in national policy formulation 46 IV. Boosting the weak sectors 47 Part Four Prudential Supervision 53 I. Corporate governance supervision 54 II. Internal controls supervision 54 III. Credit risk supervision 56 IV. Market risk supervision 59 V. Operational and fraud risk supervision 59 VI. Liquidity risk supervision 61 VII. Country risk supervision 62 VIII. Reputational risk supervision 62 IX. Credit guarantee activities 63 X. Anti-illegal fund-raising 63 Table of contents Table of contents
Part Five Improvement of Prudential Supervision Development of prudential supervisory framework Thematic Column 1: Progress in building up international macro-prudential supervisory framework ll Enforced implementation of Three Rules and One Guidelines IV Assessment and enhancement of supervisory effectiveness Thematic Column 2: Effectiveness assessment of licensing, off-site surveillance and on site examination V Supervisory cooperation and coordination VI. Construction of supervisory capacity Part Six Depositor and Financial Consumer Protection and Education 93 1. Protection of depositors and financial consumers lL. Public financial education Part Seven Information Disclosure and Market Discipline Government information disclosure and regulatory transparency IL Information disclosure of the banking sector ll. Improvement of accounting system 101 Part Eight Fulfillment of Social Responsibility 105 1. Participating in standard setting IL Facilitating the World Expo Shanghai and the Guangzhou Asian Games ll. Supporting disaster relief and post-disaster reconstruction 107 IV. Advancing the"Financial Knowledge to Countryside"campaign and assisting employment of young people Part Nine outlook I Macroeconomic environment and major risks faced 113 Il. Medium-to-long term banking supervision strategies and outlook Part Ten Appendix 119 Appendix 1: Responsibility Description of the CBrC Departments and Local Offices 120 Appendix 2: Financial management activities of the CBrC Appendix 3: Rules and regulatory documents issued in 2010 Appendix 4: Rules and regulatory documents revoked or inapplicable Appendix 5: MOUs and EOLs with overseas regulators Appendix 6: Significant Regulatory and Supervisory Events in 2010 Appendix 7: Terminology
3 Part Five Improvement of Prudential Supervision 65 I. Development of prudential supervisory framework 66 Thematic Column 1: Progress in building up international macro-prudential supervisory framework 68 II. Development of regulatory framework 71 III. Enforced implementation of Three Rules and One Guidelines 72 IV. Assessment and enhancement of supervisory effectiveness 73 Thematic Column 2: Effectiveness assessment of licensing, off-site surveillance and on-site examination 74 V. Supervisory cooperation and coordination 83 VI. Construction of supervisory capacity 87 Part Six Depositor and Financial Consumer Protection and Education 93 I. Protection of depositors and financial consumers 94 II. Public financial education 95 Part Seven Information Disclosure and Market Discipline 99 I. Government information disclosure and regulatory transparency 100 II. Information disclosure of the banking sector 101 III. Improvement of accounting system 101 Part Eight Fulfillment of Social Responsibility 105 I. Participating in standard setting 106 II. Facilitating the World Expo Shanghai and the Guangzhou Asian Games 107 III. Supporting disaster relief and post-disaster reconstruction 107 IV. Advancing the “Financial Knowledge to Countryside” campaign and assisting employment of young people 109 Part Nine Outlook 111 I. Macroeconomic environment and major risks faced 112 II. Supervisory focus of 2011 113 III. Medium-to-long term banking supervision strategies and outlook 115 Part Ten Appendix 119 Appendix 1: Responsibility Description of the CBRC Departments and Local Offices 120 Appendix 2: Financial management activities of the CBRC 125 Appendix 3: Rules and regulatory documents issued in 2010 126 Appendix 4: Rules and regulatory documents revoked or inapplicable 131 Appendix 5: MOUs and EOLs with overseas regulators 138 Appendix 6: Significant Regulatory and Supervisory Events in 2010 140 Appendix 7: Terminology 150 Table of contents