Research On The Liquidity Surplus In China' Commercial Banks

Early 2007, the excess liquidity of china's economy was for the first time written into the government work report. Excess liquidity of China's economy has become one of the key word to describe the status of china's economy from 2005 to 2007.In 2007,according to monetary policy implementation report of People's Bank of China , People's Bank of China is continuing the use of hedging instruments, such as the use of open market operations and reserves,and makes greater efforts to retrieve the liquidity of the banking system. According to dynamic change of the mobility , in 2007, the RMB deposit reserve ratio of financial institutions has been raised altogether ten times by 5.5%. In 2008 ,it has raised five times,and raised margin is up to 1% in Jume. Although affected by the current international financial crisis and declining international economic trends in the overall decline, and the People's Bank of China's two state-owned commercial banks have lowered the deposit reserve ratio twice, but the excess liquidity of commercial banks as an aspect of liquidity management is a new problem of commercial bank management in recent years, we need to do an in-depth and system study of it. In addition, the current excess liquidity of China's commercial banks is not the excess flow capacity, but the excess of funds liquidity.once the factors that have led to the current excess liquidity change, China's commercial banks will have great risks.As a result, the systematic study of the problem of excess liquidity to guard against liquidity risk, through various channels to enhance the economic efficiency of China's commercial banks, bank restructuring and the future orientation of China's economic and financial development are of theoretical and practical significance.Therefore, based on the background, this paper proceeds with the systematic study of commercial banks liquidity problem.Based on the previous concepts of liquidity and the concept of excess liquidity, this paper put forward a new concept of excess liquidity and secondly, through the analysis with the domestic and international mobility measurement and evaluation index system , this paper concluds the six indicators of the measurement and judgment of mobility.Third, from the microscopic point of view the paper proceed an empirical study on the current status of mobility of four major state-owned commercial banks .and conclud that China's commercial banking system has the problem of liquidity surplus. Fourth, through the analysis of the manifestation of liquidity surplus,the reasons of it,and the problem arising from it,with various analyzing methods like qualitative and quantitative analysis and comparison , from the perspective of funding sources, the use of funds and the management of liquidity of commercial banks ,an in-depth analysis is concluded. Finally, on how to resolve the excess liquidity the countering measures from the micro perspectives have been analyzed.