Study On The Income Structure And Profit Model For The Commercial Banks Of China

With the gradual progress of market-oriented interest rate reform, financial liberalization and competition in the banking sector is becoming increasingly fierce, traditional interest business of commercial banks in China reached a new historical low, traditional profit model of commercial banks will be faced with severe challenges, the transformation of the commercial banks profit model is particularly urgent.First, this paper on the basis of the research results about profit model, analyzes the profit mode status quo of China’s commercial banks and draws on the experience of the developed areas of the Bank’s Development, come to the problem of commercial banks profit model. In the empirical research part, this paper selects financial data of12listed banks as a sample of the fourth quarter of2007to the third quarter of2012, firstly analyzes net interest income and intermediate business income how to affect on banking operating profit. In order to further research the intermediary business how to affect China’s listed banks profitability, the variables of Total assets, operating expenses, GDP growth are put in the regression model. Finally, it draws some conclusions and policy recommendations.The conclusions are as follows. At this stage, China’s commercial banks deucedly rely on interest income, the intermediate business Underweight and lack of new business innovation. In the empirical research part, the intermediary business income of China’s commercial banks raise bank operating profits efficiently. The intermediate business of Joint-stock banks impact on banking profitability is higher than the state-owned banks’. The level of profitability is impacted by asset size, operating costs, economic development.