Research On Risk Control Of Cross - Regional Management Of Urban Commercial Banks In China

As the product of financial regulatory authorities to resolve the local financial risk, city commercial banks were built on the basis of urban credit cooperation,17years’rapid development has made city commercial banks become an integral part of the banking system in China. By the end of2011, the size of their assets has accounted for about9%of the total assets of the banking financial institutions. But since the2008financial crisis, accelerating the pace of development of city commercial banks and the cross-regional operation is an important way in its rapid development. With city firm’s business development and continuous relaxation of regulatory policy, city businesses constantly made cross-regional development in recent years, to pursue scale expanding, from its original position in the market. On one hand, this caused part of the market in our country’s financial services appears fault, on the other hand also did not conducive to the sustainable development of city business. As for-profit institutions, city business management goal is to ensure a certain level of risk under the raise the level of banks’ earnings, and under the guarantee of income level to control operational risks as much as possible. So can the cross-regional development solve the problem facing the city commercial banks, and can achieve expected benefits, at the same time effectively reduce the management risk? This article summarizes the domestic and foreign scholars on city businesses across the region management research, and views city banks’ businesses across the region management on the base of present situation and existing problems from the research. The article will also take the cross-regional expansion of Huishang Bank as an example to put forward reasonable risk control method and to solve its problem of cross-regional expansion.