Analysis Of Loan Pricing Strategies Of City Commercial Bank Of China On The Background Of Interest Rate Liberalization

As an essential part of the financial system, city commercial banks play an important role in the reformation of interest rate liberalization in China. Based on the analysis of domestic listed city commercial banks, including analyzing its background and existing circumstances, this paper indicates the strengths and weakness of these banks and suggests the opportunity for progress in future decades. On the basis of the internal and external analysis, with the influence of the loan interest rate liberalization on loan interest rate pricing, and combining the research on traditional loan pricing model and its applicability of domestic city commercial banks, we figure out the suitable loan pricing model for city commercial banks in China after interest rate liberalization through an empirical study.This paper consists of five chapters. Chapter 1: Introduction. This chapter briefly describes the background and the significance of the subject through our research on commercial bank loans. Firstly, we point out the structure and the research method of this paper. Secondly, we discuss the difficulties we may face and the innovations we bring out in this study. Chapter 2: The practice of reformation of interest rate liberalization and the analysis of city commercial bank loan pricing. In this chapter, first of all, we compare and summarize the practice of interest rate liberalization internationally and domestically. Then, we explain the history and the current state of city commercial banks in China and evaluate the positive and negative effects that interest rate liberalization brings to these banks. At last, through the SWOT analysis of the background of interest rate liberalization, we introduce the present situation and the existing problem of city commercial banks loan pricing model. Chapter 3: City commercial banks loan pricing analysis. This chapter summarizes the change of city commercial banks loan pricing strategy in the process of interest rate liberalization, illustrates the commonly used models of city commercial banks loan pricing and discusses the applicability of those loan pricing models in China. Chapter 4: The city commercial banks loan pricing strategy in the process of interest rate liberalization. This Chapter describes the city commercial banks loan pricing principle under the condition of interest rate liberalization, focusing on the model selection part and uses the model to evaluate an empirical case for loan pricing. Chapter 5: conclusion and suggestions.