Interest Rate Risk Management Of Chinese Commercial Banks In The Interest Rate Liberalization Perspective

China’s interest rate liberalization has entered a critical stage, the interest rateliberalization is the general trend. China is in a transitional phase from a long-term interestrate control to the full interest rate liberalization, the corresponding interest rate riskmanagement methods can not form a complete system. With the accelerated pace of China’sinterest rate market, the commercial banks will inevitably become even more prominent, theinterest rate risk management should be more and more the attention of the commercial banks.The research for China’s commercial banks to interest rate risk management methods,improve China’s commercial banks to interest rate risk management system, the Bank activelyadapt to the new interest rate market environment, strengthen the interest rate riskmanagement and improve the competitiveness of great significance.This paper analyzes the theory, processes and trends of interest rate market, and analyzesthe affect of the interest rate market on China’s commercial bank. The situation shows that interms of the internal environment of the commercial banks or from the external environment,accompanied by the process of marketization of interest rates and face the inevitable trend ofthe interest rate market, the current China’s commercial banks still difficult to deal with theeffects brought by the interest rate market, both the impact of the traditional banking businessand profit, but also the test of the bank’s competitiveness,the internal control system and themeasure of bank interest rate risk and interest rate risk management requirements. China’scommercial banks face a greater interest rate risk through data analysis and gaps in empiricalanalysis of China’s commercial bank assets, liabilities, interest rate, interest rate movements.It’s need to sort out the process of interest rates marketization of developed countries, clear allstages of its interest rate risk management ideas, analyze and learn from foreign advancedinterest rate risk management approach, and then according to the present situation andproblems of China’s commercial banks to interest rate risk management and come up with theinterest rate risk measurement and management methods for the actual situation of China’scommercial banks, establish and improve China’s banking interest rate risk managementsystem. Establish the interest rate risk to the centralized information management systemfrom three aspects of technical support, system construction and ways to support, and overallstrengthening of the capacity of China’s commercial banks to interest rate risk management.