Research On The Impact Of Non-interest Income On Bank Performance

Compared with the rapid development of the non-interest business of the western commercial banks,the traditional deposit and loan business has been the main source of commercial bank income,and the proportion of non-interest income in operating income has been low due to the late start of financial market in China.Structure is also more unreasonable.However,with the acceleration of the reform of the financial market,the increasingly fierce competition in the banking industry,the narrowing of deposit and loan spreads,the credit business-based traditional profit model is becoming more and more obvious.So in recent years,more and more banks began to change the business model and adjust the income structure,and actively expand the non-interest business,making non-interest income accounted for an upward trend.This article is in this context,to explore the commercial bank non-interest income on the impact of China's commercial banks.Based on this,this paper chooses 16 listed commercial banks in China,and uses descriptive statistics and regression analysis to study the impact of non-interest income on bank performance from the aspects of non-interest income ratio and non-interest income internal structure.It is concluded that the increase in the proportion of non-interest income promotes the improvement of the performance of commercial banks.The net fee and commission income of non-interest income have a positive effect on the performance of banks.The fair value gains also have a positive effect on performance.The relationship between other parts of non-interest income and bank performance is not significant.Finally,based on the results of empirical analysis and the analysis of the present situation and characteristics of non-interest business,this paper argues that banks should actively develop non-interest business,while paying attention to adjusting and optimizing the internal structure of non-interest income,and put forward corresponding policy.