金融学专业- 论文-农业银行股份制改革研究-中英文附录.doc

毕业论文 论 文 名 称 指 导 教 师 专 业 金融学 学 院 金融学院  附录一 Functions of Global Commercial Banks Credit Service The primary function of a global commercial bank, of course, is to accept deposits and lend money. Indeed lending is the cornerstone of global banking activity. Banks is overseas markets may lend money in local currency to local clients out of branches or subsidiaries in foreign countries, funded by local currency deposits or by local money-market borrowings. For example, Deutsche Bank’s branch in Mexico City may lend pesos to a local car manufacturer, funded by peso deposits in its local branch. This is purely local business, in which the bank competes with domestic banks or with affiliates of other foreign financial institutions. Alternatively, the bank may also engage in cross-border lending, in which a loan is made to a borrower in a country other than the lender’s residence, and is denominated in a currency other than that of the borrower’s currency. According to Federal Reserve Chairman Alan Greenspan in 1998, cross-border lending doubled in previous decade. For example, Deutsche Bank’s branch in London may loan U.S dollars to the same car manufacture in Mexico City. This loan is funded by dollars generated worldwide. All lending activities, whether direct or syndicated, should generate revenue for the bank. The spread is akin to gross profit on the loan; it is the difference between the interest the bank earns on the loan and the interest it pays on its own borrowed funds. The spread should be sufficient to cover overhead, risk, and profits. Lending activities can also generate a variety of fees. One form of lending, for example, is the revolving credit facility. This permits the customer to borrow, or draw, up to a certain maximum amount over an agreed time period under an agreed interest formula. This formula is usually based on the