Study On The Capital Adequacy Ratio Management Over Our Commercial Banks Under The Affect Of Basel Capital AccordⅢ

Capital adequacy ratio is a important index being used to judge bankingprevent degree of capital and assets risk from being sufficient or not. It is related tothe stability of commercial banks and is a very important indicators which should befocusing on in the management of commercial banks. The subprime mortgage crisis in2007 triggered a global financial crisis and has brought great loss and disaster, sincethen the security and stability of financial institutions has become a top priority ofpeople’s attention. In such a context, the Basel Capital AccordⅢcame into being(the text referred to as BaselⅢ), put forward new requirements for capital adequacyratio standard to establish a more risk-sensitive capital adequacy ratio managementsystem. The banking sector is facing a more open and more intense competitiveenvironment, how to make sure in accordance with the requirements of the BaselⅢand international rules to speed up the reform, improve the management of capitaladequacy ratio is an important task for China’s banking industry currently. Strengthenthe management of capital adequacy ratio of commercial banks will not only help toimprove the commercial bank’s ability to resist risks, but also prompt to maintain areasonable balance structure, and is more conducive to safeguarding the interests ofdepositors and creditors, maintain the stability of the entire banking system and eventhe financial system.This article as a reference standard to the requirements of the BaselⅢon themanagement of the capital adequacy ratio, have made a comprehensive analysis of thecurrent situation and existing problems of capital adequacy ratio in China’s bankingsector, focuses on the new regulations of the BaselⅢregulatory capital adequacyratio of commercial banks in China and the calculation of the impact andimplementation of new regulatory capital pressures were predicted. The estimatesdresult of each bank showed that the existence of capital pressure, the predicted lack ofcapital funds is mainly among small and medium-sized joint-stock banks. This articlealso conducted a sensitivity analysis of the incremental credit on the capital adequacy ratio. The results showed that capital adequacy ratio standards which are morestringent will have contractionary effects of the economy to a certain extent. Finallyset up the model, and analysis to improve the regulatory capital impact of estimatedregulatory capital adequacy ratio of banking sector loans and credit channels of GDP.In this paper, through the use of quantitative models and means of analysis to predictthe implementation of the BaselⅢmay bring pressure on the capital in China,market impact, as well as the macroeconomic impact of the angle from thequantitative analysis for decision-making theoretical support.