Research On Green Finance Business Of Commercial Banks

With the rapid development of the national economy and people’s living standards,it has brought about serious environmental problems.According to the data,China’s annual carbon emissions are about 30% of the world’s,excessive carbon emissions will lead to environmental problems such as the greenhouse effect and climate warming,posing a serious threat to the living environment of human beings and sustainable economic development.Therefore,the Chinese government has successively issued a number of policies to support the development of green industries such as energy conservation and environmental protection,clean energy.Green development will lead the trend of future industrial development,and green finance which provides investment and financing services for green industries will be the business direction of financial institutions.In addition,the current situation of strict financial supervision and interest rate liberalization in China has a certain impact on the business operations of commercial banks.As an emerging financial business,green finance is expected to provide a new profit growth point for banks with broad development prospects.Banks are the main financial institutions that carry out green financial business,it has great significance to study the impact on their business performance due to the green financial business.This thesis takes Jiangxi Bank as the research object,and specifically analyzes the impact of green financial business on its business performance.Firstly,the thesis analyzes the research status at home and abroad and sorted out the relevant literature on green finance,briefly expounded the concept and characteristics of green finance,as well as some other correlation theory about green finance,and it also analyzed the possible effects of green finance on the business performance of commercial banks from both positive and negative aspects,which will lay a theoretical foundation for the following analysis.In the case introduction part,the thesis makes a briefly introduction about Jiangxi Bank and its financial condition,and then elaborates on the current status of Jiangxi Bank’s green financial products,including green credit,green bonds and green leasing business.Jiangxi Bank’s green financial risk management system was also introduced in this chapter.In the case analysis part,in comparison with some common methods on performance evaluation,this thesis uses AHP to select four first-level indicators of profitability,green finance contribution ability,solvency and growth ability,and four secondlevel indicators were selected for each of the first-level indicator to form the green finance business performance evaluation system for Jiangxi Bank.And then to calculate the indicator weights based on the results of professionals’ scores on the importance of each indicator.Combined with the specific values of Jiangxi Bank,the operating performance under the development of green financial business can be obtained.It can be found that its operating performance has increased with the in-depth development of green financial business.At the same time,comparing Jiangxi Bank’s green finance business performance with Industrial Bank and Jiangsu Bank,it can be found both in terms of scale and growth rate are lag behind the other two commercial banks.Through analysis,it can be found that a large part of the reason is that because Jiangxi Bank’s green finance contribution capability is far behind Industrial Bank and Jiangsu Bank.Then,it compares the status of Jiangxi Bank’s green financial business with Industrial Bank and Jiangsu Bank,and summarizes the shortcomings exist in Jiangxi Bank.Finally,according to the current actual development status of Jiangxi Bank,some reasonable suggestions are put forward for Jiangxi Bank to develop green financial business.This thesis selects indicators to construct the operation performance evaluation system of Jiangxi Bank based on the AHP.It organically integrates the green finance concept with the operation performance evaluation of commercial banks,and enriches the operation performance evaluation theory of commercial banks to a certain extent.At the same time,through the comparative analysis with other banks,the shortcomings exist in Jiangxi Bank’s current green finance business are obtained.With the corresponding suggestions,it is conducive to promoting the overall level of Jiangxi Bank’s green finance business and improving its sustainable development ability.The thesis also hopes to provide useful reference for the performance evaluation of other commercial banks and the development of green finance business,promoting a further development of green finance cause of China’s commercial banks.