Analysis of market discipline in banking supervision

Under the background of international financial crisis, financial supervision will become the popular topic on the basis of financial stability. Because there has continuous and invisible pressure of supervision, more and more countries will focus on the issue of market discipline. This text focuses on a series of issues in market discipline. It described the concept, meaning and role of market discipline, especially paid attention to the limitations of market discipline. Finally, it analyzed the effective market discipline in China's banking supervision, showed that it should strengthen the awareness of recognition and precaution risks, improve the content of information disclosure, and adjust the system of banking supervision in order to promote the development of our banking.