The Liquidity Risk Management Of Shenzhen Development Bank

The situation of globalization of world economy has been more and more obvious, financial and economic interlink ages are more closely than ever before, the interaction and influence are far-reaching. Commercial banks is the top priority of the country’s financial, in the management profit-making, security and liquidity of commercial bank, the liquidity is the most important. The liquidity of commercial bank means the ability of keeping at the right price can be achieved the ability of the funds available to meet the customer at any time. It is the premise condition that the normal action of commercial bank, it is the important guarantee for security of commercial bank assets. Thus the liquidity of the bank not only directly related to their bank own reputation and the safety of survival, affecting the central bank’s monetary policy effects, or even one country would affect the stability of the entire financial system, its impact is far greater than other risks.Shenzhen Development Bank is one of the earliest listed commercial banks, and it has been the leader in the management of the liquidity risks. This paper focused on the methods of liquidity risks management and offer some capable strategies.Since the beginning of the21st century, because the big strides of macroeconomic environment and micro-economic entities reform the liquidity position has undergone major changes, it changed from the lack of liquidity into continuous flow of liquidity, loose lending growing worse, the excess deposit kept on a high level.2005-2007, the liquidity of the banking problems have become increasingly prominent, the banking liquidity surplus of adverse effects has become increasingly evident, not only affect the implementation of the central banks monetary policy effect, affecting the stability of the financial system operator, China financial flows and become the focus of attention of scholars. Since the end of2007,the global financial market has been evolved into the liquidity shortage crisis triggered by the global financial crisis. The paper established a scientific model of the liquidity risk management for Shenzhen Development Bank through the static and dynamic indicators analysis and the related analysis method.The first chapter introduces the background and significance of the paper; the second chapter describes the content of liquidity and liquidity risk; the third tells the current situation of liquidity risk management of Shenzhen Development Bank; the fourth introduces the empirical analysis of liquidity risk management of Shenzhen Development Bank; the fifth chapter give some advice on how to improve the liquidity risk management and the last part describes the conclusion.