Research On The Impact Of Interbank Business Regulation On The Profitablity Of Listed Commercial Banks

In recent years,due to factors such as interest rate liberalization and the development of financial technology,the financial market environment has undergone tremendous changes,and the profit model of commercial banks that originally relied on deposit and loan spreads has been challenged.Against this background,commercial banks have achieved a new round of profitable growth through interbank business innovation.At the same time,irregular interbank business operations also bring various risks.The frequent promulgation of strong regulatory policies on interbank business effectively restrained the spread of risks and also affected the profitability of commercial banks.This paper analyzes the formation and development of interbank business supervision,and finds that after 2014,interbank business supervision has entered a comprehensive supervision stage,and the supervision has been significantly strengthened.At this stage,the strong supervision of interbank business has significantly affected the interbank business operations.This article will then measure the level of interbank business innovation based on the scale of interbank asset development,and explore the moderating role of the level of interbank business innovation Then,it further explored the impact of interbank business supervision on the short-term comprehensive performance of banks by combining risk and profit,and further explored the role of individual bank risk in regulating the impact.This paper constructs a dynamic panel data model and uses the system GMM two-step estimation method to analyze the data of 16 listed commercial banks from 2009 to 2018,and draws the following research conclusions: First,when bank risk is not considered,the strong negative effect of strong interbank business regulation on short-term profitability is significantly greater than the positive effect.However,when comprehensive consideration of bank risk and profit,individual bank risk strengthened the positive effect of strong interbank business supervision on short-term comprehensive performance,which was finally reflected in the positive impact of strong interbank business supervision on short-term comprehensive performance of banks;Second,strong supervision of interbank business has a positive impact on the long-term profitability of listed commercial banks.Third,the higher the degree of innovation in interbank business,the larger the scale of the development of interbank assets,which will strengthen the negative impact of strong supervision of interbank business on its short-term profitability,but the scale of interbank asset development cannot regulate the strong supervision of interbank business.Positive impact on long-term profitability of banks.Finally,based on the above conclusions,this article proposes the following three policy recommendations: first,the supervisory authority should strengthen the risk assessment review of interbank business,and implement differentiated supervision of banks with different risk levels;second,the supervisory authority should regulate the interbank business in a timely manner,Supervision should serve the needs of banking business development.Third,commercial banks should fully assess their own interbank business risks and strengthen risk management and control over their interbank business.