Cai: Four innovation in China's banking industry is insufficient

Cai, vice chairman of China Banking Regulatory Commission, said 19th, China's banks are still in the stage of reform and development, compared with the commercial banks of mature financial market countries, in many different areas there is still a lack of innovation, or even innovative blank. At the 2009 China Financial Summit, he said the lack of innovation is mainly manifested in four aspects: first, the banking financial institutions also need to systematically study their own innovative positioning and focus, and constantly improve the financial innovation supporting system and rigorous innovation process, reduce the occasional type of innovation; the second is the convergence of financial institutions is obvious,　　The homogeneity of products in some fields is serious, and the ability of independent innovation needs to be further constructed; Thirdly, financial institutions have to study the risk control mechanism of financial innovation. Financial institutions should carry out the financial innovation activities, need to fulfill the necessary social responsibility and devote more efforts to fulfill the duty of public education. He said that under the current economic situation, the CBRC would encourage banking institutions to carry out beneficial innovations around economic themes to better serve the macro economy. First, in line with the country's economic guidance, such as rural finance, small business credit and so on to increase financial innovation, improve the quality and level of financial support, for the national Industrial Policy elimination and compression areas, should be based on the risk of prudent adjustment and strategic exit. The second is to continuously improve the risk management ability of financial innovation activities and balance the short-term and long-term benefits. Third, strengthen the investor education, enhance the financial consumer's cognition ability to the innovative product, in the financial innovation activity, promptly to the individual and the institutional investor carries on the sufficient information disclosure, the Training innovation product basic knowledge, enhances the related level, simultaneously helps the investor to establish the rational investment idea.