Industrial And Commercial Bank Of China Branch In Suqian Credit Risk Management And Control-credit Restructuring Case Studies

It is a critical period for China to deepen its reform and transform its economy developing mode, and it is also a period when the domestic financial market is getting more complex and more competitive. Due to the changes, the external environment of commercial banks has changed a lot, and the competition in the market, especially the competition between domestic banks and foreign banks has increased. Credit operation is the main source of banks’income, as a result, it is necessary for banks to change their extensive management modes to intensive modes, pay more attention to risk control and optimize credit structure. Nowadays, the main tone of China’s macro economy is restructuring and developing economy. How to optimize credit structure is a complicated task. Banks need to focus on how to classify credit operation and optimize credit structure in order to restructure economy in China. Industrial and Commerial Bank of China, one of the biggest state-owned commercial banks in China, is selected as a case in this essay. The city of Suqian is selected as a domestic stage of rapid development of the city for representatives.Based on theories about internal control of banks, risk management of banks and credit structure, this essay demonstrates the state of business in Suqian Branch of ICBC and concludes the features of credit structure according to data from2010to2012. Corresponding with situation that ICBC faces, this essay offers the methods on restructuring credit structure and how to control credit risks in order to increase profit and maintain liquidity. The conclusions and suggestions offered in this essay is not only significant for all the branches of ICBC, but also significant for other banks.