Commercial Banks To Interest Rate Risk Management Of The International Comparative Study

In the seventies of 20^th century, the Bretton Woods system broken down and the tide of financial freedom appeared in the worldwide. The western developed countries gradually loosened their finance regulation. The banks faced very large interest risk as the interest rate gradually marketization and the interest rate fluctuated frequently. The interest rate affected the bank's revenue and growth badly. As see from the international experience, the Argentina and Chile emerged many bankrupt things in the process of marketization. Therefore since the eighties of 20^th century, banks and bank supervision departments in the world had began paying attention to interest rate risk management and they had got large progress in interest rate risk management skills and interest rate risk management concepts. The western developed countries have developed a set of mature interest rate management aimed to interest rate fluctuation in the interest rate marketization.As a developing country, our country is switching to the market economic system. The interest rate marketization trend will never be stopped especially after we joined the WTO. As the interest rate marketization being deepening, the scale of the interest rate fluctuation will be increased and the fluctuation frequency will be enhanced. As to the interest income as the main source of profits of china's commercial banks, the interest rate risk will be more and more greater. The Chinese commercial banks actually take a huge burden of interest rate risk. However, our commercial banks is lack of interest rate risk guarding awareness, lack of interest rate risk management experience and tools and lack of interest rate risk management personnel, so our commercial banks are in a very passive position in the face of interest rate risk. Studying the interest rate risk management under the conditions of market-oriented has become an urgent need.First, the theory introduced the interest rate risk concept of the commercial banks and the evolution process of interest rate risk management in western developed countries. Secondly, the theory introduced the interest rate risk management condition of Germany and the interest rate risk management condition of American. Thirdly, the theory introduced the interest rate risk management status and problems of our commercial bank. Lastly, the theory compared analysis the difference between the interest rate risk management of our country and the mature interest rate risk management of western developed countries. On the basis of absorbing advanced experience in the field of interest rates risks management from western countries and drawing a set of techniques fitting for the present situation in our country, this paper proposes a compatible interest rates risk management system with the process of maketization of our country.