Research On The Interest Rate Risks Of Chinese Commercial Banks Under The Background Of Interest Rate Marketization

With the gradual promoting of China's marketization process and the continuous deepening of economic system reform,China's growing importance in the international financial markets has become increasingly prominent.In order to better adapt to the international financial environment and respond to the challenges from all sides,completing the interest rate marketization reform as soon as possible,and the one which will be impacted most seriously by the interest rate marketization must be commercial banks.China's interest rate marketization reform began in 1978,but the process of reform was not advanced rapidly until 1996.Through theoretical combing and comparative analysis,this paper explores and summarizes the long-term theoretical basis of interest rate marketization and the path and course of China's interest rate marketization reform;The empirical model analyzes the interest rate risk faced by China's commercial banks in the process of reform by establishing VaR model and interest rate sensitivity gap model,and compares the policy flexibility of state-owned large commercial banks and joint-stock commercial banks in the face of interest rate risk shocks s differenc;By the empirical analysis,the author acquires the interest rate risks of China's commercial banks in the process of reform,and puts forward some specific theoretical and political suggestions on the effective response of commercial banks to the marketization of interest rate.The interest rate marketization reform is a double-edged sword for China's commercial banks:on the one hand,it has brought a more relaxed business environment for China's commercial banks,and to a certain extent increased the autonomy of commercial banks,so that commercial banks can be in accordance with the marketization principles to develop a competitive interest rate,which is conducive to promote financial innovation and improve the operational efficiency of commercial banks;On the other hand,the marketization interest rate reform has brought about more intense competition among peers.With the deepening of reform,the commercial banks' spreads will be constantly declined and the market interest rate will frequently fluctuate,which will bring huge impacts to commercial banks.Besides,the higher and higher interest rate risk may also be a cause of banking credit risk.Therefore,not only the study on the interest rate risks that interest rate marketization reform brings to commercial banks has the far-reaching theoretical significance,but also has important practical significance for the effectively responding of commercial banks to the interest rate risks.The marketization reform of interest rate is not only an opportunity but a huge challenge for China's commercial banks.In order to better cope with interest rate risks,commercial banks should actively learn from the western advanced interest rate risk management experience in the course of practice,and combine with their own actual situations to make foreign advanced technical means and strategies of interest rate risk measurement and management localize.