The Impact Of Banking Supervision On Bank Credit Growth

The outbreak of the financial crisis in 2008 has highlighted many problems in financial supervision around the world,and has also made the regulatory authorities of various countries more deeply aware of the importance of banking supervision.Under the regulatory framework of Basel III,China's regulatory authorities have made corresponding adjustments to the requirements of banking supervision according to China's national conditions.At present,the downward pressure of China's economy is increasing.In order to prevent systemic financial risks,strong supervision has become the inevitable trend of China's banking supervision.At present,one of the tasks of financial work is to serve the real economy,and the bank credit business is the main channel of financing for the real enterprises.Increasing the intensity of bank supervision is bound to have an impact on it.The purpose of this paper is to examine the impact of supervision intensity on loan growth of commercial banks under different conditions of capital adequacy ratio and asset scale of commercial banks-Under the background of strong supervision and accountability in banking industry,this paper constructs the comprehensive supervision intensity index of banking industry through principal component analysis,using the three dimensions of regulatory documents issued by regulatory authorities,on-site inspection and administrative penalties.And select the semi-annual data of 28 commercial banks in China from 2008 to 2017 as the research sample.On the basis of fully considering the heterogeneity of commercial banks,a panel smooth transition regression(PSTR)model is established.The capital adequacy ratio and asset size of individual heterogeneity variables of commercial banks are used as the conversion variables of the model to analyze the impact of banking supervision intensity on bank credit growth under different capital adequacy ratio levels and asset scales of commercial banks.Influence.According to the empirical study of PSTR model,it is found that the intensity of banking supervision will have a tightening effect on the credit growth of commercial banks.The concrete conclusions are as follows:Firstly,when the capital adequacy ratio of banks is low,the increase of supervision intensity will have a significant tightening effect on bank credit,while when the capital adequacy ratio of commercial banks is high,the increase of supervision intensity will not have a significant tightening effect on bank credit.Secondly,the enhancement of the intensity of banking supervision will have a tightening effect on the credit growth of all commercial banks of different scales,but the tightening effect on smaller urban commercial banks is more significant.Through the previous research and analysis,the paper puts forward relevant policy recommendations.Firstly,adhere to the principle of moderate supervision,and support financial service entity enterprises in policy.Secondly,we should explore the differentiated supervision model to improve the accuracy of supervision.Thirdly,we should speed up the establishment of bank capital replenishment mechanism and broaden the channels of bank capital replenishment.Fourthly,we should strengthen the"adaptability" of supervision and have the foresight of supervision.