Research On The Influence Produced By Off-balance Sheet Business To The Performance Of Commercial Banks

As a result of the continuous advancement of interest rate liberalization,the gradual deepening of financial reform,and the strengthening of financial supervision,China's commercial banks have increasingly narrowed their deposit and loan interest margins,and competition in the industry has become increasingly fierce,and they are facing severe challenges.At the same time,with the rapid development of the economy and the continuous improvement of the financial market,the demand for credit intermediaries continues to increase.Commercial banks have to find new financial development paths.The off-balance-sheet business of commercial banks not only can create economic benefits,but also promote the ability and level of socialized services to continue to increase,so it is generally considered the only way for commercial banks to achieve innovation and development.The out-of-balance sheet business of China's commercial banks started relatively late,and there is still a big gap compared with foreign commercial banks.In recent years,the overall size of the off-balance sheet business of China's commercial banks has continued to expand and revenues have increased significantly.At the same time,the composition of the off-balance sheet business is constantly changing,and the development trends of off-balance-sheet businesses of different types of banks are also not the same.It is of far-reaching significance to explore the relationship between the development status quo and business performance of off-balance-sheet businesses in China's commercial banks in order to promote the rapid and healthy development of off-balance-sheet businesses and maximize the improvement of commercial banks' operating performance.This article first systematically elaborated the concept classification,characteristics,and significance of the out-of-balance sheet business of China's commercial banks,and the internal mechanism of the impact of off-balance-sheet business on the performance of commercial banks.Then,it carried out the development status of China's commercial banks' operating performance and off-balance-sheet business income.In-depth analysis.Subsequently,this paper selects financial panel data from 16 commercial banks in China from 2005 to 2016 as research samples,uses a fixed-effect variable intercept model for quantitative analysis,and examines the relationship between off-balance-sheet business income and its income structure and commercial bank performance.,And study the influence of off-balance-sheet operations on the performance of state-owned commercial banks,joint-stock commercial banks,and city commercial banks.This paper concludes: For commercial banks,the development of off-balance-sheet business will help improve performance.The higher the off-balance-sheet business income,the higher the profitability and performance level of commercial banks.Among them,intermediary services income,agency investment and financing services There is a positive correlation between income and commercial bank performance.Other types of income have a weaker effect on commercial bank performance.The relationship between guarantee commitment income and commercial bank performance is not significant.Off-balance-sheet business has different effects on the performance of different types of commercial banks.Joint-stock commercial banks The out-of-balance-sheet business income of the City Commercial Bank has a higher level of spontaneous impact on performance than state-owned commercial banks.Finally,this article proposes five countermeasures and recommendations on how to effectively promote the healthy and orderly development of the off-balance sheet business of our country's commercial banks and promote the maximum improvement of the commercial bank's operating performance,create a favorable off-balance-sheet business development environment,and rationally improve the off-balance sheet business' s income structure,enhance the risk management capabilities and means,and pay attention to the off-balance-sheet business information disclosure,promote off-balance-sheet business to become a new profit growth point for commercial banks,and also have a high practical significance for domestic commercial banks to enhance their competitiveness in the international financial market.