The Study On The Reform Of Development Finance

Development finance plays a particularly important role in national economy.From the international perspective, there are significant differences about thepositioning of development financial institutions. China Development Bank is thedevelopment financial institution of China. How to choose a development path duringthe commercial reform is the focus of the thesis. From2007to the present,commercialize transformation of China Development Bank have achieved goodresults. Compared to the pre-transition, net profit of China Development Bank hasbeen improved significantly, NPL ratio has been controlled, capital adequacy ratio hasrisen to a stable trend. At the same time, China Development Bank faces with manyproblems and challenges. Such as, corporate governance structure is still not perfect,lack of marketing experience causes loss in the competitive market. This articleanalyses the problem of China Development Bank in the reform and operation, givessome useful suggestions.The author believes that, in the transition process, China Development Bank shouldhave more channels to add capital, establish and improve personnel trainingmechanism, participate in international financial markets and play more particularlyimportant role in national economy. Firstly, this paper presents the status ofinternational development financial institutions and development process of ChinaDevelopment Bank. Secondly, the paper analyses the data of China DevelopmentBank in the reform, comparing with the data prior to the reforms. Thirdly, the papercompares China Development Bank and Industrial and Commercial Bank of China,have the conclusion that development financial institution provide more credit fundsin the market economy. Lastly, the paper gives some useful suggestions about thereform of China Development Bank. China Development Bank should deal with theproblem well in the reform.