Research On The Influence Of Capital Structure Of City Commercial Bank

With the further development of financial liberalization reform,our country banking industry ushered in the year full of challenge,it also makes the bank's capital structure changed significantly.For city commercial bank,as the third echelon of the Chinese banking industry,it was the product of policy,and the development of the scale of assets and liabilities have been growing by leaps and bounds, and it has play an irreplaceable role in supporting local economic development,small micro enterprises, support local industry development,but still facing many problems,for example,it has yet to establish the modern corporate governance mechanism,poor quality of assets,management benefit and profitability ability is poor,the capital structure but also become the main bottleneck restricting development of city commercial bank,so we should focus on optimizing business capital structure.This article consists of three parts,the first part focus on the theory,in this part,it analyses the city commercial bank capital structure in the present situation in order to provide theoretical support. Meanwhile,it analyses the city commercial bank capital structure in the present situation in order to provide theoretical support,from this part,we can conclude that the city commercial bank has several problems include local government shareholding ratio is high, the equity structure is simplify,deposit accounts is huge, asset liquidity is poor and lack of capital source.The second part focus on the empirical point of view,by comparing the city commercial Banks and domestic joint-stock Banks,state-owned Banks empirical,and then analyzed the restriction factor of the capital structure of the city commercial Banks.In empirical process, asset-liability ratio as the explained variable,through panel data empirical operation,size,profitability,growth characteristics of assets,guarantee ability,non-performing loan ratio,income tax and capital adequacy ratio and the corresponding macro indicators as explanatory variables.According to the results of the empirical analysis,On the basis of theoretical analysis using the state software regression analysis,regression analysis results showed that the capital adequacy,profitability,asset guarantee rate,asset quality and macroeconomic environment has a significant effect on the capital structure. Asset quality,profitability and negatively correlated with asset-liability ratio,bank size and collateral value positively correlated with asset-liability ratio,the impact on the macro factors is not significant.The results of the comparative analysis of the three types of banks also show that the capital structure of city commercial banks is of special characteristics.The third part is to put forward of the optimization of city commercial Banks in China Banks' capital structure. It includes optimizing of governance mechanism,the supplementary of capital,improve the quality of assets, strengthen the supervision of equity.