Interest Rate Liberalization And Interest Rate Risk Management Of Commercial Banks In China

In China, the market-oriented interest rate reform is in the implementation phase. With the marketability degree of interest rate which is the price of capital enhancing gradually, the interest rate will undulate along with the change of the relationship between the market supply and demand. Especially for commercial banks, the interest rate risk increases rapidly. In our country, the commercial banks have not pay enough attention to interest rate risk, and also have no corresponding methods and instruments to manage the interest rate risk because of the long-term regulation of interest rate. So, in order to adapt the interest rate liberalization, the management of the interest rate risk will become an important aspect of commercial banks'risk management.Though analyzing the interest rate risk management, this paper explains interest risk theory, and studies the types, the measurement and the control of the interest rate risk. According to mature interest rate risk management experience of international commercial banks, this paper studies the actuality of commercial banks'interest rate risk management in China, points out its deficiencies, and puts forward some suggestions on how to construct the interest rate risk management system.The first part is the introduction. First, the purpose of writing this paper points out that the interest rate risk will become the main commercial banks'risk form and the interest rate risk management will become the main content of the commercial banks'risk management. Then give the literature review from the market-oriented interest rate reform and the interest rate risk...