Open AccessAn Empirical Study on the Profitability of Chinese Commercial Banks — Based on Factor Analysis
Author(s) -
Yujun Hu
Publication year - 2021
Publication title -
financial forum
Language(s) - English
Resource type - Journals
ISSN - 2251-2659
DOI - 10.18282/ff.v9i4.1537
Subject(s) - profitability index , business , finance , commercial bank , financial system , key (lock) , industrial organization , computer science , computer security
The supporting role of financial development on the real economy is unquestionable. How to improve the profitability of commercial banks, allocate more resources efficiently and quickly to the key links of development, and urge financial institutions to better serve the real economy, is our breakthrough in economic development bottlenecks important node. Based on the data of 16 listed commercial banks in 2018, this paper uses factor analysis to calculate the profitability scores of each bank, discusses how commercial banks can better serve the real economy, and proposes corresponding policy recommendations.