China's Listed Banks' Capital Adequacy Ratio And Asset Loss Provisioning Analysis

Capital adequacy supervision is the core content of prudential supervision on commercial bank, and the New Basel Agreement posed a higher requirement on the supervision. In fact, capital adequacy is closely related to adequacy of allocation of assets impairment. The inadequacy of allocation of assets impairment will not only lower commercial bank's ability to resist risk but also water its profit. So only on the premise of adequate allocation of assets impairment can the capital adequacy rate be reliable and the index is comparable among different banks. This thesis begins with New Basel Agreement's requirement on capital adequacy rate, and then by elaborating on the regulations in our country which reflects principles and methods in New Basel Agreement and the realities in our country, it argues the regulations'effects on the capital adequacy of listed banks. After that, by analyzing concretely and evaluating the capital adequacy and allocation of eight assets impairment of the five listed banks between 2001 and 2005, it reveals further the problems existing in allocation of assets impairment of the five listed banks and the influences of the problems on capital adequacy rate. In the end, conclusions are reached and suggestions are given.