The Research Of Productivity And Influence Factors In Rural Commercial Banks Under The Constraint Of On-Performing Loans

Since the joint-stock reform of rural credit cooperatives, China’s Rural Commercial Banks have been more than300. Whether property scale or profitability they have been significantly improved, and inject new blood into China’s rural financial system. In the whole, Rural Commercial Banks have achieved rapid development, but also have a lot of problems, such as lack of business innovation, relatively concentrated customer base, obvious regional service, a higher rate of non-performing assets, etc. Furthermore, to some extent, the productivity level is still lagging behind mature commercial banks. Therefore, it is of great significance that we choose an objective way to evaluate the productivity of rural commercial banks, and achieve "revenue maximization" or "cost minimization" at a given input, output level, as well as explore the influence factors of productivity Rural Commercial Banks.Firstly, on the basis of data envelopment analysis (DEA), construct SML index; Dynamically measure productivity of rural commercial banks during16years, from2007to2012; Separate productivity indicators into technical efficiency indicators and technical progress indicators; Analyse the reasons for China’s Rural Commercial Bank productivity changes on detail. Finally we draw a conclusion that after the joint-stock reform, China’s Rural Commercial Banks’productivity gets an average increase of1.65%from2007to2012, and owing to the double promotion of technological progress and technical efficiency, Rural Commercial Banks’productivity come across an increase up to9.93%from2009to2010affected by domestic economic recovery, which indicates the rural financial reform is effective, not only improve the rural financial system, but also promote the progress of Rural Commercial Banks productivity; In addition, on the basis of longitudinal comparison to the selected sample area, we conclude that the central region of Rural Commercial Banks on the rise in productivity is the most obvious, furthermore productivity level is relatively stable in the eastern and southern regions.Secondly, based on the SML index and its decomposition value, build panel Tobit regression model, then attempt to identify the factors affecting the productivity of Rural Commercial Banks on the macro and micro aspects. Empirical conclusions are as follows:(1) GDP growth, CPI index and the productivity of Rural Commercial Banks are significantly correlated, indicating that economic growth and inflation can promote the Rural Commercial Banks’productivity;(2)Rural Commercial Banks’internal factors, such as asset scale, deposit ratio, capital adequacy ratio and so on, play a positive impact on productivity.Finally, based on the empirical results and the actual situation of China’s Rural Commercial Banks, the paper puts forward some corresponding policy recommendations.