The Research On The "Deleveraging" Of Commercial Banks In China Under The Macro-prudential Regulation

In recent years,the economic and financial environment has become increasingly severe in China.In the view of foreign environment,the rise of the US dollar has led to the reshuffle of global capital,and the prevalence of right-wing populism has increased global financial instability and uncertainty.From the domestic environment,due to the lag of state-owned enterprise reform,numbers of the zombie companies piled up,as the return rate of real economy is increasingly lower,a lot of money is leveraged within the financial system,and the funds are idling.And the liberalization of financial leads to the financial system fragility,so financial "deleveraging" is imminent,as the main financial subjects the"deleveraging" of commercial banks are deserved further study.This paper first analyzes the status quo of "deleveraging" of commercial banks in China from three aspects,including the level of leverage,the way of the leverage and the effectiveness of "deleveraging".The study concluded that the indicators for measuring the level of leverage of commercial banks in China are in line with current regulatory requirements.However,in recent years,China’s commercial banks have become more leveraged by evading supervision through the growth of on-balance sheet assets,off-balance sheet wealth management and "innovation" in their inter-bank business.As the focus of the central government’s work has shifted,the "deleveraging" of commercial banks in China has indeed achieved certain results.Secondly,this paper focuses on the impact of Macro-prudential Regulation on the"deleveraging" of commercial banks in China.And made a brief introduction to the current status of Macro-prudential Regulation.Then through the macro-prudential tools of capital and the transmission mechanism of liquid macro-prudential tools,this paper analyzes the impact of Macro-prudential Regulation on the "deleveraging"of commercial banks in China.Therefore,it is concluded that Macro-prudential Regulation has positive and negative effects on the "deleveraging" of commercial banks in China.On the one hand,it enhances the risk absorption capacity of commercial banks,alleviates information asymmetry and increases public confidence,while strengthening the binding of shareholders to management.On the other hand,capital regulation will curb financial innovation and increase the cost of financing the real economy.From the perspective of long-term development,it is not conducive to "deleveraging" of commercial banks.Finally,this paper verifies the above effects through the empirical analysis method of threshold effect test and regression analysis,and proposes relevant policy recommendations from the regulatory level and the bank itself,namely,dynamically and flexibly designing regulatory indicators,improving internal control mechanisms,and strengthening risk management awareness.Expand capital replenishment channels,rationally carry out financial innovation and transform business development models to promote business transformation.