Research On The Efficiency Of Commercial Bank And It’s Influencing Factors Under The Condition The Marketization Of Interest Rate

The reform of interest rate marketization as an important part of the financial reform has been of high profile for a long time. The reform in the present is touching the core. After the loan interest rate restrictions were abolished, the cancellation of deposit will be advanced on the agenda. The rules about it are gradually being introduced and implemented. Deposit and loan services have always been the key to decide the operation of commercial banks and its efficiency. It has both theoretical significance and practical significance to explore the problems in these respects.This paper is roughly divided into two large sections of theoretical and empirical.On one hand, it comprehensively introduces all kinds of theories about the marketization of interest rate and the efficiency of commercial banks. On the other hand,the thesis uses the data of 13 commercial banks to analyze the factors of the efficiency of Chinese commercial banks and its influence from 2006 to 2013.The article is divided into six chapters whose structure is Introduction--Elucidation-- Conclusion. The first chapter proposes the research background and significance of the thesis. The literature review was finished after retrospecting the results of Chinese and foreign scholars’ research on commercial banks’ efficiency. This chapter also points out the framework and the purpose of writing this paper. The second chapter introduces the specific contents about the marketization of interest rate and the efficiency of commercial banks. First of all, this part discusses policy objectives,development history and the influence of the marketization of interest rate. Then we state the discussions about the efficiency of commercial banks, including financial index analysis, methods for analysis by using simple function and envelopment analysis. The last part of the chapter introduces the production method, intermediary method, asset approach and some other input output method. The center content of the third chapter is about the relationship between interest rate marketization and the efficiency of commercial banks. It classifies the factors which influence the efficiency of commercial banks under the marketization of interest rate. Our analysis includes direct and indirect factors of efficiency of commercial banks in the current situation. It serves as a connecting link between the preceding and the following. The fourth chapter is the empirical analysis.first of all, we calculate the technical efficiency, pure technical efficiency, scale efficiency and Malmquist index with DEA method. Results indicatethat the efficiency of commercial banks in China is high and it still had the upside potential. then, the CAMELS is used in Tobit two stage regression. We use five indicators:the capital adequacy ratio, non-performing loan ratio, the management level difference, equity ratio and interest spreads of deposit and loan to Regression analysis of commercial banks efficiency. The conclusion is that capital adequacy ratio and non-performing loan ratio are negatively related to efficiency index, interest spreads of deposit and loan is positive related to efficiency index, management and ratio of equity are uncorrelated to efficiency. The fifth chapter are some suggestions to improve the efficiency of commercial banks. It summarizes the current situation of commercial banks in operation from macroscopic and microcosmic aspects.besides, this part also puts forward some ideas of improvement the efficiency of commercial banks. The sixth chapter is a summary of the paper.