Research On Loan Pricing Management Optimization Of CD Bank Under The Background Of Interest Rate Marketization

The People’s Bank of China announced a new mechanism for the lending prime rate in August 2019,which marks a further deepening of the interest rate market reform in China.According to the new LPR mechanism,commercial banks are able to gain more pricing autonomy,which is not only conducive to optimizing the asset and liability structure of commercial banks,but also improves the efficiency of capital allocation in the market.the other hand,the marketization of interest rates has also intensified the market competition among commercial banks,making the deposit and loan interest margin which is the main source of bank profits narrow gradually.Under the fierce market competition,loan pricing management becomes more and more important for the development of commercial banks.How to reasonably price loans and maintain market competitiveness while improving the income level are of great significance to the stable and healthy development of commercial banks in the interest rate marketization environment.First,this paper reviews the process and development direction of interest rate marketization in China,summarizes the relevant research results and shortcomings of loan pricing at home and abroad,and introduces the relevant theories and pricing methods of loan pricing.Secondly,it introduces the operation and management of CD Bank,explains the current situation of its loan pricing management,summarizes the problems of CD Bank in loan pricing management,and analyzes the causes of the problems.Then,we analyze and compare the advantages and disadvantages of the existing loan pricing methods with the problems in the loan pricing management of CD Bank,and propose the optimization principles and formulate the optimization plan by drawing on the mature experience at home and abroad.Focusing on the loan pricing method,cost measurement and pricing approval process,the optimization measures are designed to meet the actual situation of CD Bank.Finally,this paper proposes safeguards for CD Bank’s loan pricing management optimization plan.This paper takes CD Bank’s loan pricing management as the research object,and composes and analyzes its loan pricing management methods,mechanisms,and processes.It is hoped that the in-depth study to identify problems,analyze the causes of the problems,and propose targeted improvement measures can provide some references for CD Bank’s future business development,so that CD Bank can improve its competitiveness in the credit market and help it cope with the challenges brought by interest rate marketization.