Research On The Impact Of The Credit Regulatory Capital Of Commercial Banks

As the capital regulation gradually entering China, domestic banking industry facesopportunities and challenges at the same time. On the one hand, China’s Banks need to facemore stringent regulatory capital, the bank’s profit and risk control are put forward higherrequirements; On the other hand it is also an important opportunity to catch to theinternational large bank in our country. Bank credit is the core part of the banking business,discussing the effects of new regulatory capital agreement on bank credit has importantsignificance. Since the financial crisis, many financial institutions around the world wentbankrupt, which makes people refocus on the transmission properties of the financial crisis.The focus of the scholars study often lies in the stock market, and the credit market isconductivity has been ignored.This article reviews the capital adequacy regulation, counter-cyclical capitalregulation as well as the literature of the impact of the credit for liquidity, the scholars havedifferent understanding. On the analysis of the countries all over the world and domesticregulatory capital for credit, the author captures the since capital regulation11listed bank’scapital adequacy ratio, credit, LDR, regression analysis was conducted for thenon-performing loans and other indicators, trying to find out capital regulation on therelationship between the quality and quantity listed bank credit. After that captures theJapan, the United States, the three countries since the implementation of regulatory capitalof China’s credit correlation test, try to explain for credit market conduction effect.