Research On Impact Of Bank Of Communications' Asset And Liability Structure Of The Net Interest Margin

At present,China's economic growth situation has changed from the original high-speed development to a new normal of slow growth,and economic growth is facing pressure.As an important part of social and economic activities,commercial banks are not only facing the pressure of slowing down the growth rate,but also have many adverse effects because of the deepening reform of the financial market.For example,the phenomenon of financial disintermediation is becoming increasingly prominent,the competition between financial markets is intensifying,and the reform of interest rate liberalization is pushing forward.All these make the original scale advantage of banks weakened and the pressure on the debt side increased.In recent years,banks have shown the phenomenon of narrowing net interest margin,the profitability of banks has been severely challenged.Under the current adverse impact of the banking industry,commercial banks from their own assets and liabilities structure,improve the ability to manage assets and liabilities,optimize the structure of assets and liabilities,is conducive to improving the situation of narrowing net interest margin.Taking bank of communications as the research subject,this paper analyzes the impact of its asset liability structure on net interest margin.This paper compares and analyzes the differences between the specific business of Bank of Communications and China Merchants Bank.Using the data disclosed in the Bank of Communications' annual report from 2007 to the end of March 2018,this paper analyzes the impact of Bank of Communications' loan,investment,deposit,asset-liability ratio and bank size on the net interest margin through multiple linear regression.The results show that the proportion of loans and investments is negatively correlated with the level of net interest margin;the proportion of current deposits and term deposits in the debt structure is positively correlated with the net interest margin,but the positive effect of the proportion of current deposits on the net interest margin is more obvious;the ratio of assets to liabilities is negatively correlated with the level of net interest margin,but its impact is not significant;the size of banks is negatively correlated with the level of net interest margin.It has a great impact,so we need to focus on solving the problem of uneconomical scale of Bank of Communications.Combining with the asset-liability structure of China Merchants Bank and the empirical results,in order to solve the problem of the shrinking net interest margin of Bank of Communications,this paper puts forward relevant suggestions from three aspects: asset structure,debt structure,asset-liability ratio and bank size.