Research On Interest Rate Risk Management Of Zhongyuan Bank Under Interest Rate Marketization

The end of 1980 s is the beginning of China's interest rate toward the direction of market development,interest rate control also appeared gradually open bud.However,interest rate liberalization still experienced cross-century development.Until the middle of 2013,China's interest rate liberalization began to develop in full swing from the embryonic state,among which the full liberalization of the interest rate control of financial institutions is called the banner.The development of interest rate liberalization conforms to the trend of The Times,but this development has gone through ups and downs.Nowadays,especially in China,commercial Banks have low capital pricing ability,which is easily destroyed by interest rate fluctuations,resulting in large losses.There are also big problems in the profit structure of Chinese commercial Banks,which is not in line with the goal of interest rate liberalization,especially the unreasonable business structure and excessive dependence on traditional credit business.Based on the above reasons,it can be concluded that the study of interest rate risk management of commercial Banks is extremely urgent.As one of the earliest commercial Banks in China,zhongyuan bank has encountered many problems in the management of interest rate risk during the process of continuous development and expansion,coupled with the changes of times and policies.This is also the primary problem it is facing now,and will have a fatal impact on its long-term survival and development.Therefore,this paper decided to study the interest rate risk management of central bank under the current situation of interest rate liberalization,so as to provide Suggestions for the better development of central bank.Based on the data in the financial statements of zhongyuan bank,this paper analyzes the current situation of interest rate risk from four aspects,including the change of interest rate risk,the current situation of risk management,existing problems and their causes.And the reasons are divided into internal reasons and external reasons,so as to put forward the implementation of diversified and differentiated development strategy and improve the interest rate risk control mechanism.In view of the external factors,it is proposed to strengthen the commercial supervision mechanism of central plains bank and accelerate the construction and development of the financial market.Only when the overall environment presents a prosperous situation,can central plains bank take advantage of this "east wind" to reduce risks and thus be able to operate for a long time.In addition,this study provides a systematic and comprehensive analysis and research thinking for the risk management of commercial Banks,which can be applied to the interest rate risk management of the same central bank or other commercial Banks.