Analysis Of Influencing Factors In The Banking Intermediation Spread On The Basis Of Economic Liberalization

With economic globalization and the integration of the world, trades become more and more frequent among countries, capital controls be relax, economic openness is increasing, and the liberalization of the economy is continuously push forward. Economic freedom leads to a dramatic transformation in the international financial market environment, the traditional commercial banks are gradually fade out the stage of history, non-interest income business world banking industry has become a new profit growth point. Economic liberalization in the world also deeply influenced China’s banking industry. One hand, the liberalization of the economy makes our economy prosperity, domestic demand for loans increase, and improves bank profits. On the other hand, economic liberalization has increased competition in the banking sector, and banks face domestic and international financial institutions dual competition pressure. Given in the context of economic liberalization to banks’ spreads has important theoretical and practical significance, and also this part of the study is a blank in our country, this article will try to innovative inquiry.This paper tightly write around the bank spreads in the context of economic liberalization, after a review of the relevant research literature, starting with the theoretical explanation of bank spreads impact factors in the general sense, and the article also try to seek some theoretical basis between economic freedom and banks spreading. Then from the banking sector in the worldwide, the article analysis the banking net interest margin and its related influencing factors with the introduction of variables such as economic freedom. This article mainly uses the panel data for empirical analysis to draw relevant conclusions. Then there is a theoretical and empirical analysis of banks spread income under the background of economic freedom in China, by comparing we can understand our situation, and thus give more suitable recommendations for China’s economic.