A Study On The Profit Mechanism Of The Bank Of Mongolia

Most of the financial systems in Mongolia are commercial banks,but the activities of other financial institutions have been expanding in recent years.If the sustainable and efficient sustainable economy of the bank must have a clear source of financial resources,the country's economy will increase substantially.The main purpose of the banking organization is to maximize the cost of investment and maintain the lowest cost level.In order to achieve these goals,the banks have their own unique strategies to maintain and improve the status of the banking industry.By studying the financial indicators of commercial banks and other financial structures,it is very important to correctly formulate a database to manage the profitability of the bank.It can be more accurate to estimate the income and expenditure of the bank and to prove the actual utility of the bank.First of all,this paper analyzes the Bank of Mongolia,analyzes its profit mechanism,finds out the problems of the profit mechanism,and puts forward how to improve the profit mechanism to contribute to the economic development of Mongolia.This paper is divided into five parts,the first part is the introduction,including the research background and significance,the current research situation at home and abroad,and the analysis of the research content and methods.The second part is an overview of profitability.At first is the definition of the business capacity of commercial bank,and the theoretical basis of profitability of commercial bank,and then the profitability index of commercial bank.The third part is the current situation of the profit mechanism of Mongolian bank.Firstly,it studies the basic situation of the national bank and the commercial bank,including the current situation of the profit level,the result of the profitability of the state-owned bank in the last two years.The second is to study the level of national bank expenditure analysis,including bank management expenditure,bank training expenditure.The forth part is the problems existing in the profit mechanism of the Mongolian Bank.Firstly,the Mongolian Bank has its own factors,including the low profitability of the bank as a whole,the high cost of expenditure,the imperfect risk control and the lack of core competitiveness of the bank.Secondly,it analyzes the external factors,including the impact of foreign banks and the economic environment.The fifth part is the countermeasure to solve the profit mechanism of the Mongolian bank.Firstly,from the perspective of the bank itself,it includes perfecting the bank's own governance structure,improving its own profit level,effectively reducing its expenditure,and perfecting the bank's risk control mechanism.Secondly,from the perspective of external factors,including the stable economic development of Mongolia and the government to strengthen the support to the banking industry.