Study On The Relationship Between Financial Ecological Environment, Related Loans And The Performance Of China's City Commercial Banks

In the process of the development of city commercial banks, the related loan is always an important factor that affects the benign and healthy development of the city commercial banks. China has been in the theoretical research stage of the research of the related loans, the empirical research is less, and the existing research of the relationship between related loans and city commercial banks performance has not been the same conclusion. Moreover, the development of city commercial banks in the real world will be affected by the external financial environment, which is relatively rare in the past on city commercial bank performance and related loans analysis, Therefore, we add a variable of financial ecological environment to study the relationship among the financial ecological environment, the related loans and the city commercial banks performance, and verify the related loans play an entirely intermediary role in the relationship of the financial environment and city commercial banks performance.This paper defines the concept of financial ecology environment, related loans and city commercial bank's performance by using the theoretical analysis method at the beginning of the paper, moreover, reviews and comments on the results of previous studies, based on the previous research results of the theoretical analysis on the research contents of this paper. Secondly, the article through the manual collection and sorting 2006-2014 years(excluding 2011-2012 years of data loss) seven years of China's urban commercial banks' data, and made an Empirical Study of the relationship among the financial environment, related loans and the performance of the city commercial banks. Empirical study results show that the financial ecological environment and our country commercial bank's performance is a significant positive correlation, and is significant negative to the proportion of loans in the city commercial banks, the ratio of related loan is negatively related to the performance of city commercial banks in China, the related loans play an entirely intermediary role in the relationship of the financial environment and city commercial banks performance, that is the effect of financial ecological environment on the performance of city commercial banks in China is realized through related loans.Finally, according to the conclusion of this paper, the author put forward some related policy suggestions. First,from reducing the effect of government debt on the financial stability, strengthening economic infrastructure, upgrading the level of financial development, strengthening the system and the integrity of culture to strengthen the construction of financial ecological environment. So as to provide a good external conditions to regulate the related loans in the commercial banks, and promote the good growth of China's urban commercial banks. Second, from increasing the diversity of ownership structure, strengthening information disclosure and improving bank internal governance to make improvements, so as to lay a good internal foundation for improving the performance of city commercial banks in China.