Research On Liquidity Risk Of Commercial Banks In China

As an important part of commercial bank risk management,liquidity risk has always been the focus of attention.Since entering the new era,China's economy has entered a new normal,and its economic growth has slowed down.The trend of interest rate marketization,financial disintermediation,declining asset quality and increasing regulatory pressure make the liquidity system of commercial banks be tested,and the importance of liquidity risk management is increasingly prominent.China's commercial banks,especially city commercial banks and rural commercial banks,face severe challenges to liquidity risk management.The research focus of this paper is to measure,grade and rank the influencing factors of liquidity risk of city commercial banks and rural commercial banks,and explain the reasons of different ranking results.Finally,it puts forward scientific policy suggestions for liquidity risk management of city commercial banks and rural commercial banks.Based on the principal component analysis and panel data regression analysis,this paper selects the relevant data of 10 commercial banks(5 city commercial banks and 5 rural commercial banks)in 2014-2018 for research.The two types of commercial banks have different results in the ranking of liquidity risk influencing factors.It is concluded that under the premise of increasing regulatory pressure,city commercial banks are more dependent on interbank business,while rural commercial banks are more dependent on external supervision due to scale constraints.Therefore,city commercial banks need to use external funds more reasonably when carrying out business,while rural commercial banks need to strengthen their own construction when establishing liquidity risk management system.