Analysis On Effects Of Interest Rate Liberalization On Rural Cooperative Financial Institutions Income

Currently, the interest rate policy is an important tool of monetary policy. People's Bank of China adjusted according to Economic Development and timely interest rates and the interest rate mechanism, in order to influence the supply and demand of social capital, thus achieving a certain goal. In recent decades, our country more stringent controls on interest rates, interest rate control policy has been implemented, but with the economic globalization and financial liberalization increasingly advance, controls on interest rates does not meet the appropriate, so our government must take the initiative to adapt to the market interest rate of the trend, accelerate the reform of the interest rate market, the pricing of financial institutions to fund the market demand as the standard pricing of assets and liabilities. Experience in other countries shows that, in the interest rate market-oriented reform process, as well as five years after the completion of the process of financial institutions Ebb Tide, some of the interest rate market is not sufficient to deal with in advance, asset quality, and ability to resist risks weak banks the possibility of bankruptcy sharp rise. Issued May 1,2015 of the deposit insurance system, the phenomenon of banking institutions by the bankruptcy theory to reality.For Zaozhuang region, the current rural cooperative banks still dominated the rural market, the interest rate difference between deposits and loans remained the main income, although the proportion of intermediary business revenue accounts has increased, but still not dominant, in response to competitive interbank interest rate market under the Zaozhuang rural cooperative banks in the state will be the basis of a floating deposit rate ceiling, the lower lending rates to the lowest level by lowering the price of the loan is the way to deal with the white heat of competition. Therefore, in the interest rate market environment, rural cooperative banks should Zaozhuang precise analysis of their own lack of development advantages, identify the market position, trying to catch up, give full play to its functions in the "three rural" aspect of the service. In this paper, the concept of market interest rates, features and development process to start as the focal point, and the positive interest rate market and the negative impact on earnings of Agriculture and Commerce Bank made a systematic analysis discussed by actual research, to rural areas Zaozhuang Status and other cooperative financial institutions revenue structure factors, for example, in-depth analysis Zaozhuang rural cooperative financial institutions risk management of interest rate changes in the market, focusing on the analysis of the scope of its operations, interest rate risk, the level of profitability, ability to resist risks, market the difficulties faced by the share level, etc., and for these difficulties are proposed to improve the existing revenue, improve the quality of personnel, reduce risk, improve internal funds transfer pricing and other coping strategies to promote Zaozhuang rural cooperative financial institutions in the interest rate market under how to control the overall interest rate risk, sustainable and stable income levels, enhance the core competitiveness to provide advice.Specifically, the paper is divided into five chapters, the first chapter describes the background and significance of the research, and scholars to influence market interest rates on bank documents were summarized and the overall conceptual framework of the thesis and research methods are discussed. Theory of Market Interest related financial liberalization theory of the second chapter, the impact of the theory of interest rate transmission mechanism banks and income are described. The third chapter studies the impact of interest rate mercerization of Zaozhuang rural cooperative financial institutions revenue, mainly from rural financial cooperation institutions Situation Zaozhuang income, profitability, risk-resisting ability, and market-oriented interest rate reform process to analyze trends operating income. The fourth chapter analyzes the interest rate market to Zaozhuang rural cooperative financial institutions and mechanisms of influence positive and negative impacts. The fifth chapter discusses the specific measures to promote the interest rate market revenue growth during Zaozhuang rural cooperative financial institutions, opening up new channels for revenue growth in the new situation. Chapter comprehensive summary of rural cooperative financial institutions in response to the interest rate market to promote the process of concluding income growth, and to submit policy advice supervisory authorities.