Causes And Solutions Of Non - Performing Loans Of Agricultural Bank Of China

Nowadays, our country is under the new normal economic environment at present, China’s economic transformation is in the bottleneck period. Since the beginning in 2015, our country economy’s high growth has changed, economic growth rate began to slow. In recent years, China’s banking profit growth will enter the zero time. As a pillar enterprise of the economy in our country, banking industry, occupies important position. It is important for our country’s economic development that the rise and fall of the banking industry. The core assets of China’s banking industry is the quality of credit assets, that is to say, the discretion of the non-performing loans affect the development of the bank. After decades of state-owned commercial Banks operating in China, the bank industry has accumulated a lot of bad loans. How to deal with the existing banking and how to defense may form in the future non-performing loans have become a problem banking now need emergency treatment. It’s a vital significance for the development of the banking sector even for the whole country’s economic development trend that through a proper way to eliminate non-performing loans of Banks in our country.This author see a lot of financial, commercial Banks or related documents, by means of a vast amount of non-performing loans about the large joint-stock commercial banks data contrast, think Agricultural Bank of China in non-performing loans is a typical represent, and made it as the research object of this article. Based on Agricultural Bank of China nearly five years of data base of survey found Agricultural Bank of China non-performing loans at present large, to write off bad loans is more lower, the condition of client assets potential non-performing loans risk and so on. The article through to Agricultural Bank of China’s actual situation investigation, analyzes the main reasons of the formation of non-performing loans with the economic system reform history, Agricultural Bank of China customer group, the current social and economic situation, Agricultural Bank of China internal control is not strict. Finally, the author through how to eliminate the existing of non-performing loans and how to create new bad loans to prevent two aspects discusses the methods of concrete and put forward some practical Suggestions. Specifically through the national industrial policy support inside the bank itself and strengthen prevention and control to improve their awareness of risk management, and increase the non-performing loans through diversification of non-performing loans disposal measures to offset degree, reduce the Banks’ losses.