Location Selection Of Overseas Institutions Of Chinese Commercial Banks Under The Background Of "Belt And Road"

With the development of China’s economy,China’s financial industry has also made great progress,and has reached the world’s leading level in asset scale and business field.However,in the field of international operation,China still has a certain gap with banks in developed countries,and Chinese commercial banks are also increasing the construction of overseas branches in recent years,in order to better integrate into the world financial market.With the proposal of "Belt and Road" initiative in China,our country has a huge demand for financial services in cooperation with the countries along the "Belt and Road ",so in recent years,the commercial banks of our country have also taken the layout of branches in the countries along the " Belt and Road " as an important task,so how to choose the location of overseas branches in the countries along the " Belt and Road " has become an important issue for Chinese commercial banks at this stage.This paper collates the distribution of overseas institutions of chinese commercial banks in the world from 2009 to 2017,and calculates the relationship between the influencing factors of the location choice of overseas institutions and the number of overseas institutions through stata software.by using the fixed effect model and the random effect model,the significance of each influencing factor in the model is tested.The empirical results show that the bilateral trade volume,the flow of foreign investment,the stock of foreign investment and the amount of contracts contracted out are significant at the 1% confidence level,the per capita GDP of the host country is significant at the 5% confidence level,and the GDP growth rate of the host country is significant at the 10% confidence level.The number of workers in the host country and the financial agglomeration effect of the host country were not significant.Therefore,according to the relationship between our country and the countries along the "Belt and Road" in these factors,our commercial banks should establishbranches in countries with higher bilateral trade volume,more foreign investment and closer economic cooperation with our country,including Indonesia,Singapore,Thailand,Vietnam and Russia.The per capita GDP of the host country and the GDP growth rate of the host country are the secondary considerations.The reason is that the countries with higher per capita GDP of the host country often attract large international banks in developed countries to build overseas institutions.The commercial banks of our country are difficult to form a competitive advantage.