Study On The Influencing Factors Of Non-performing Loans In Commercial Banks In China

With the continuous development and improvement of the socialist market economy with Chinese characteristics,the non-performing loans in commercial banks are effectively controlled.Until the second half of 2011,the situation of the "double down" was broken,non-performing loans and non-performing loan ratio were both rebound trend,the problem of commercial banks' non-performing loans was once again into public view.The bad loans of commercial banks not only have a negative impact on the banking industry,but also affect other industries and even the outbreak of international financial crisis.Therefore,further study on the reasons of the commercial banks' non-performing loans,which is helpful to solve the old and new problems of non-performing loans,and is conducive to sustainable and healthy operation management of the banking industry in our country,is advantageous to the financial and economic security and social harmony and stability.The main research method used in this paper is the combination of theory and demonstration.In theory,the first is to determine the research direction based on the classical theory.The second is to describe the overall situation and distribution of non-performing loans of commercial banks in terms of time span and institutional distribution respectively,which further qualitatively analyzes the reasons for the deterioration of the quality of bank credit loan assets.In the empirical aspect,through the quantitative analysis of the panel model,the conclusion is that there is a significant positive correlation between the relative asset size of the bank and the non-performing loan ratio.While the other five factors have significant negative correlation with the non-performing loan ratio.Finally,on the basis of the empirical research results,some suggestions are put forward to prevent and reduce the non-performing loans of commercial banks.