China’s Commercial Banks’ Liquidity Risk Factors Analysis

Liquidity risk is uncertain because of the strong impact damage is great feature is called" the most deadly risks of commercial banks." Especially the U.S. subprime crisis and thesubsequent global financial crisis triggered again warning the importance of robust liquidityrisk management and supervision. For a long time, because in our system of government-owned banks and the implicit guarantee the integrity of excess liquidity, making our littleattention to liquidity risk issues. As the government gradually reduced until it exits protection,but also due to its aggressive business management of our assets and liabilities of commercialbanks, non-performing asset inflation, showing a single asset class as well as the narrowchannels of financing and other issues, in varying degrees, China’s commercial banksdeposited liquidity risk. Meanwhile, with the development of the financial market innovationand technology, cross-industry, cross-border activities and changes in the rise of commercialbank financing, liquidity risk of banks continue to show the new features, and the outbreakof the mechanisms generating liquidity risk more complicated. Therefore, in-depth analysisof the impact of commercial banks liquidity risk factors and development characteristics,attention to track the nature and extent of the specific factors that impact on sustainabledevelopment banks, to strengthen the commercial banks to improve risk identification andmeasurement of work and improve banking liquidity risk management It has great theoreticaland practical significance.In this paper, starting from the research results at home and abroad, to explain themeaning of the commercial banks’ liquidity and liquidity risk, liquidity risk under strongregulatory background, summarizes the characteristics of new problems and facing thepost-crisis era. On the basis of this theoretical analysis, combined with China ’s specificconditions of China’s commercial banks to factor liquidity risk are discussed. Analyzes theliquidity of commercial banks in the country risk of endogenous and exogenous factors thataffect which endogenous factors include the bank’s asset-liability maturity mismatch,constitute unreasonable balance, exogenous factors including long, the central bank ’smonetary policy, financial the degree of development of the market, changes in interest ratesand foreign exchange and international capital flows and other factors. Then analysis of thefactors influencing the use of commercial bank liquidity risk weights were measured obtainedliquidity gap, the maturity of financial markets, the deposit reserve ratio, active debt, the central bank ’s foreign exchange reserves and the number of these heavy to light factors thatinfluence the order. Finally, from the micro level proposed liquidity risk preventionsuggestions. In the banks to adjust their asset structure microscopic view to enhance theliquidity of assets, liabilities initiative to promote business development; macro-regulatoryaspects of the Ministry of the Environment and to actively promote the development ofmulti-level financial market deepening of China ’s foreign exchange management system,good exchange rate formation mechanism of the market and further promote reform and theestablishment of the gold deposit deposit insurance system.