Research On The Influence Of Non-interest Income On Business Performance Of Commercial Banks

In the context of the increasing openness of China and the deepening of the economic reform,as an important financial institution,the bank is also facing a deeper challenge at the same time.The rapid development of foreign banks,the entry of private capital into the banking and the rapid development of online finance have greatly reduced the business volume of commercial banks.The income of the banks has slowed down.In order to meet the demand of the market and ensure the effective operation of the banks,the major banks are beginning to move towards non-interest income in order to improve profit.Non-interest income is the most banks continue to implement and improve the strategic management idea,in the development of commercial Banks,the non-interest income of development is boosting bank positive transformation actively,adapt to the effective way to deepen the reform trend of our country.This is an important topic to improve the structure of banking revenue and establish a scientific,reliable and efficient business strategy.At the same time,it is also an indispensable part of transformation.The development of commercial banks in China is that interest income is still relatively high,while non-interest income is relatively low.but it has been growing.Based on the analysis of non-interest income and business performance related economic theory,the research object of the article is the Bank of China,the ICBC,the Agricultural Bank of China,the China Construction Bank and the Bank of communications.The measurement index of the non-interest income is HDI,and the measure of the performance is ROA.By analyzing the financial data of banks,it can find out the changes of non-interest income and business performance.Through empirical analysis it can be certain that there is a positive correlation between the non-interest income of banks and the improvement of business performance.Finally,in the context of developing non-interest income,it is suggested to enhance bank performance by strengthening cost control and risk management and optimizing business structure.