A Study Of Factors Influencing The Profitability Of Listed City Commercial Banks

The general environment faced by Chinese commercial Banks is as follows:interest rate liberalization continues,financial "disintermediation" intensifies,economic growth slows down,and the continuous opening of the financial market leads to the continuous influx of foreign capital and sino-foreign joint venture Banks.In this context,urban commercial Banks will inevitably be affected.What are the effect factors of profitability of city commercial Banks and how to improve the profitability of city commercial banks will become a question of great research significance.At the same time,the improvement of the profitability of city commercial banks will also make important contributions to China's economic development,which makes this issue has profound practical significance.Taking the listed city commercial banks as the research object,this paper studies the effect factors of the profitability of the city commercial banks by combining theoretical analysis with empirical analysis.First of all,the effect factors are divided into internal and external parts,and relevant literature at home and abroad are classified and reviewed.Secondly,the relevant theories are reviewed and analyzed on this basis.Thirdly,the development status of city commercial banks is demonstrated by data.Then,on the basis of theoretical analysis,indicators of relevant effect factors are selected as explanatory variables,and the return on total assets of listed city commercial banks is taken as the explanatory variable for empirical analysis,and robustness is added to verify that the selected equation has a certain robustness.In particular,it is innovative to deal with the reference index of intermediate business income.In this paper,the intermediate business income assets ratio is used to replace the traditional index--roportion of intermediate business income,and more significant results are obtained.Finally,the conclusion is that the profitability of the listed city commercial banks is significantly positively correlated with intermediate business income level,operating efficiency,deposit market share and GDP growth rate,and negatively correlated with non-performing loan ratio.On the basis of the research conclusion,the corresponding countermeasures are put forward.This includes developing intermediate business income,strengthening cost management,prudent risk management,adapting to the economic situation,and developing its own characteristics.