Research On The Influencing Factors Of Bad Loans In Listed Banks In China

Non-performing loans have been a major problem facing commercial banks all over the world.The high rate of non-performing loans will not only reduce the core competitiveness of commercial banks themselves,but also impede the healthy development of the whole banking industry,and even lead to the financial crisis.China's commercial banks have also experienced the problem of high rate of non-performing loans.With the development and reform of the domestic financial industry,this problem has been effectively restrained.However,in recent years,the problem of non-performing loans of commercial banks has begun to highlight.According to the relevant data published in the annual report of the CBRC,the rate of nonperforming loans and non-performing loans of commercial banks has been "double liter" since 2012.As a special commercial bank group,the problem of bad loans will not only affect the whole banking industry,but also affect the stock market in China.Therefore,it is of great significance to study the influencing factors of non-performing loans of listed banks.First of all,I have combed the related literature of non-performing loans,and found that most of the scholars' research is only from the macroscopic or microcosmic perspective,but the research that combines them is not much.Therefore,this paper will combine macro and micro factors to study the influencing factors of non-performing loans of listed banks in China,so as to supplement the deficiency of this aspect.Secondly,13 listed banks,from the first quarter to the second quarter of 2011 to the second quarter of the panel data to carry out an empirical analysis of the factors of non-performing loans,the following conclusions are drawn:(1)the faster the growth rate of GDP,the less the rate of non-performing loans of Listed Banks;the slower the growth rate of GDP,the greater the rate of non-performing loans of the banks.(2)the higher the proportion of state-owned shares of listed banks,the more serious the problem of non-performing loans will be.(3)there is a significant positive correlation between the capital adequacy ratio and the non-performing loan ratio of listed banks,which is contrary to the existing research conclusions.(4)compared to the developed countries,the specific operating mode and management method of the listed banks in China make the cost income ratio not related to the bad loan rate of the listed banks,which is contrary to the existing research conclusions.(5)there is a significant negative correlation between the bank loan ratio and the non-performing loan rate of the listed banks,although this is in accordance with the scholars' research,but the impact coefficient of the bank loan ratio is small,so the proportion of the loan amount of the listed banks is not the direct cause of the production of their own non-performing loans.(6)the larger the management shareholding ratio is,the more positive it will be to solve the problem of non-performing loans.Finally,on the basis of the empirical conclusions,combined with the actual situation of the listed banks in China,the corresponding policy recommendations are put forward from the macro level and bank perspective respectively.