Analysis of the impact of interest rate liberation on China＇s banking sector

Actually China has achieved the liberation of deposit and lending rates to some extent, after the start of the reform, it is expected there may not be a great impact on the banking sector in the short term, but in the long term, the interest rate liberation will undoubtedly increase the cost of capital banks, especially after deposit rates achieve the full realization of market-oriented pricing, which will have long term impact on the banking business.