The Comment Of Our Commercial Bank's Credit Risks Management

Credit risk management means the analysis and control of the credit risk and the assessment of the credit risk management effects. The operation modes of the banks in different countries can be different, but each bank will adjust and perfect their credit risk management modes according to their actual statements and the world trend to guarantee their competitions.This passage can be divided into five parts. The first part is to introduce the credit risk generally. Including its definition ,category and so on; the second part is to lay out and analyze some traditional and practical credit risk management methods; the third part is to describe our country's credit risk conditions and their causation ,which includes political factors, governmental factors, enterprise factors, culture factors, bank their own factors ,law factors ; the fourth part takes bank loan as an example to illustrate the credit risk management method's differences between our bank and foreign bank, and makes it clear that we can borrow some good things from foreign banks, then after considering our countries'specific statement, apply those things to our banks so as to improve our bank's competition ability; the fifth part is to come up with some ideas as to how to diminish and defend our banks'credit risks, the ideas are mainly referring to two sides : bank internal environment and bank external environment.The passage analyses our commercial bank's statement: inefficient risk exposure, inadequate credit risk measurement; no basic database; risk management tools need to be improved. The reason can be summarized to be internal reasons and external reasons: the internal reasons are inefficient management mechanisms, outdated credit management measures and backward technology; the external reasons are inadequate laws and related regulations, the illegal phenomena are wide spread, the link between bank and government is still existent, the credit fund is still inclined to finance, the banks face such a difficult situation as both hard debt and soft credit. Such an equivocal statement which is that the banks should operate according to regulations but not totally obey the rules comprise the main reason of our commercial bank's high bad-loan rate.In order to improve our commercial banks'credit risk management , this passage analyses American commercial banks'credit risk management : first, it emphasizes to quantify the credit risk, then to get explicit and accurate results, it is on behalf of the future credit risk management direction; second, it has perfect credit risk management information system, the American commercial banks'database can be updated daily, and have strong statistic and requirement functions, can support great technology guarantee for their high-level credit risk management; third, they have perfect credit risk alarming system; forth, they always use credit derivatives to disperse credit risks(e.g. the securitization of credit assets),because of their new instruments to transfer and disperse credit risks, their whole credit risk management systems can be improved continually.After the analysis of American banks'credit risk management, we have some enlightens: first, to recommend advanced credit risk management tools and theories; second, to improve our commercial banks'credit risk management's external environment; third, try to quantify our credit risks, which is also the basel capital agreement's requirement.Finally, the passage comes up with some ideas as to how to diminish and defend our banks'credit risks, the ideas are mainly referring to two sides : bank internal environment and bank external environment. The external environment includes the government, the enterprises, the society and the supervision departments. Each part should do something to improve our commercial banks'credit risk problems, as to the government, it should treat commercial banks as independent institutions, it should not interfere the banks daily operations; as to the enterprises, they should build good enterprise image, especially the state-owned enterprises, they should not evade commercial banks'loans during their internal reformations; as to the society, it should regulate the market order and improve the credit environment; as to the supervision departments, they should strengthen the financial regulation, to urge our commercial banks to advance their credit risk management level; the internal environment includes the transference of operation theory; the improvement of credit analysis methods, the build of credit assets database, the strengthen of our credit risk management systems and management mechanisms, the summarization of the internal credit rating system, so as to advance our commercial banks'credit risk management.The innovation of this passage lies in that the final conclusions are based on the analysis and summarization of foreign commercial banks'advantages and the consideration of our actual conditions.