Comparative Analysis Of Financial Stategy And Performance Between Changshu Rural Commercial Bank And Wuxi Rural Commercial Bank

As a part of China’s huge banking system,the financial institutions of rural banking,especially the rural commercial banks,have made rapid progress in recent years and play a more and more important role in the financial system of China.In the financial institutions of rural banking,the Changshu rural commercial bank and the Wuxi rural commercial bank are the leading rural commercial banks listed in the A stock market.Their distinctive features and leading achievements have attracted attention.The authors take these two banks as the research object,in order to understand and handle the profit characteristics and business of the rural commercial bank of China for the investors and the management decision-makers.Performance and development trends provide samples.This paper uses the top-down analysis framework to analyze the domestic and foreign macro-economy,then analyzes the current situation and trend of China’s banking industry,and then analyzes the current situation and trend of rural financial institutions.Finally,through the financial data of 2013 to 2017 five years in the banking sector,we adopt the CAMEL analysis framework suitable for the banking industry and through the financial assets of the listed banks of the A shares.The middle level of the service indicators is compared,and the development trend of the two banks,financial ratios,value factors,financial policies and financial strategies are analyzed.The financial and management characteristics of the two banks are excavated,and the financial strategic matrix is used to analyze them,and the conclusions are drawn up and the corresponding proposals are put forward.The study found that the two banks are better than their counterparts in capital adequacy and liquidity,but they need to be improved in profitability,asset quality and management ability.In addition,the growth of the Changshu rural commercial bank is superior to the Wuxi rural commercial bank,both banks are value creation banks,and Changshu rural commercial bank is better than no one.On the whole,Changshu rural commercial bank is more radical in operation,while Wuxi rural commercial bank is relatively conservative.In this paper,the two banks are suggested respectively:for the Changshu rural commercial bank,it is suggested to continue to plough the local economy,maintain the characteristics of small rural business,increase the income of non interest,expand the source of income,make full use of the two level capital tools,strengthen the capacity of risk management,and especially prevent the risk of industry and region concentration.For the Wuxi rural commercial bank,it is suggested that we should continue to base on the local economy of Wuxi,develop the personal financial business actively,optimize the asset institutions,improve the rate of return on assets,strictly guard against the enterprise credit risk caused by the economic downturn,and guard against the risk of regional concentration.