Study On The Developing Of Small And Medium Banks In XPCG

A group of small and medium banks has been cultivated in the Chinese financial reform. The small and medium banks have been springing up in the economically developed eastern area because of the flexibility in its ownership, organizations and management. The small and medium banks have been an important part in Chinese financial system, and they also contribute greatly to the enlargement of employment, improvement of financial system and the development of economy. XPCG is located in the Xinjiang Uygur Autonomous Region, whose economy is relatively underdevelopment and the financial services level is lower and lack of effective support for rural credit.This paper aims at study the developmental problems of banks in XPCG through analysis of its development of economy and finance. The paper designs a more appropriate way for the banks in XPCG. The method may help the banks to take their advantages, to survive and develop in competition, and also offer better help for XPCG.Firstly, the paper propones the necessity the establishment of XPCG and the development of small and medium banks in accordance with the specialty of small and medium banks, the reasons for existence and the financial development of XPCG. Based on them, from the aspects of market demand and development of its own system, the paper attempts to support that XPCG need the support from small and medium banks in order to keep developing by means of Cointegration and Analysis of Variance. The small and medium banks support it from the perspective of fund and credit extension, which help to improve its development of financial market. They attach much attention to the financial need of XPCG and small and medium enterprises and try to satisfy their financial need with efficient methods. The special advantages of small and medium banks will help to develop XPCG greatly. Secondly, taking the National Village banks of Wu Jiaqu as a case, the paper assesses comprehensively the level of competition, by establishing evaluating index system. It finds out three main factors by Factor Analysis. The result shows that the National Village banks of Wu Jiaqu have good management and great potential of development. Besides, the banks are good for the improvement of the capacity of competition. Furthermore, through the analysis of the economic scale of National Village banks of Wu Jiaqu by means of Translog cost function, the results present that the National Village banks of Wu Jiaqu do not have bad loan, and good growth momentum. Having compared its present management state with that of the other banks, the paper attempts to find out its restricted factors. Lastly, based on the research result of economists, the experiences of banks at home and abroad and the results of this study, the paper concludes the developmental problems of the banks of XPCG and gives some suggestions.The paper analyzes the small and medium banks of XPCG by correlation analysis both macroscopically and microscopically. It has certain creativity in research perspective and research methods. The paper discusses the special developmental model of the banks according to the research results.