Study Of Commercial Banks To Corporate Customers Credit Rating

Banking is a special and high-risk industry. Since the 1980s, banking crises breaking out in some countries state that if ineffectively controlled, they are very likely to trigger chain effect, thereafter lead to overall and systematic financial crises, and bring disasters to the whole economy, even cause economic chaos and political crises. According to the New Ratings-Based Basel Capital Accord, the Chinese commercial banks have to face the challenge of fulfilling IRB, which emphasizes credit risk assessment. The complexity of the credit risk assessment process has necessitated the construction of credit risk assessment models, based on the sorting approach, which can be used by financial and credit analysts both as evaluation systems of new firms seeking financing as well as screening tools of the firms which are included in the loan portfolio of a bank.Based on analysis and research on credit venture's appraisal method at home and abroad, reference to the credit ranking system for commercial clients of American Standard & Poor's corporation and combining with the practical circumstances of commercial banks in China, this paper indicates the deficiency of the method for classifying credit in commercial banks in China at present: the singleness of marking method, the inevitability of subjectivity. Aiming at improving these deficiencies, this paper established an all-around system for appraising credit of a loan enterprise. It uses factor analysis method to decide the weight of the indexes. From the industry risk, conduct risk, management risk and repayment willing of a loan enterprise, this paper analyses non-financial factor of enterprise. Finally, it demonstrates the factual application by virtual case in this paper. And also, it indicates the further researching orientation.In the end the paper sums up both of its strong points and defects, and indicates that it could do some help to gradually perfect customer credit rating index system of civil commercial banks.Postgraduate student: Dong Yingying (Finance)Directed by Prof. Hu Yah-Jing...