Research On Stability Of China’s Banking System And Influencing Factors

The stability of the banking system is a prerequisite of efficiency andprofitability,and the process of accumulation. The own structure model of the bankingsystem’s is undergoing tremendous changes, and on many levels,the factors ineconomy will affect the stability of the banking system. After subprime mortgage crisisand the European debt crisis, international economic situation experienced into along-term slump, China’s banking system will inevitably be affected. How toobjectively and comprehensively measure the stability of the banking system, andaccurately describe its trends and analyze influencing factors have an important role inthe post-crisis period to the healthy development of China’s banking system.In this paper, Organized the theory of stability in domestic banking system, bylooking for related differences and links of banking system stability to further definethe banking system stability; From the microscopic mechanism, meso mechanisms andmacro mechanism analys the causes of the banking system stability; comparativeanalys four financial crisis in three decades on the banking system stability, to extract arepresentative factor.Select2004to2012quarterly data, based on the formation mechanism of the bankitself is unstable,using factor analysis indicators measure the stability of the bankingsystem (BS), obtained mainly by measuring the stability of the banking systemstructure and size of the impact of both factors, the overall upward trend fluctuated.And by one-sample Kolmogorov-Smirnov Z test, indicating that the index measuringthe stability of the banking system after the financial crisis changed significantly.Using Johansen cointegration test and Granger causality test analyzes factorsinfluencing the stability of the banking system. In conclusion: The macroeconomic,international factors and industry factors and the stability of the banking system exist inlong-run equilibrium relationship, in which the stability of the banking system and theconsumption share, import and export accounting, spread abroad, the actual utilizationof foreign investment accounting, banking market concentration and securitization ratewas negatively correlated; and GDP growth in fixed asset investment, real estateinvestment loans accounted positively correlated with the economic realities of thebasic agreement, with a strong explanatory.Finally conclusions based on the model of economic development in our countrythe status quo changes in each factor analysis and interpretation of trends, and putsforward related recommendations to adjust the structure of bank funds allocation, to built a multi-level financial markets and to strengthen the supervision in the financialliberalization context and so on.