State-owned Commercial Bank Credit Risk Analysis And Management Study

With the development of international economic integration, especially after China joining WTO, the banking of China is being in the process of finance globalization. In the open competition, the management of banking will be in line with international standards, and the banking will be facing the unprecedented opportunities. At the same time, with the deepened reform of finance system and the opening of finance industry, domestic banking will be facing the severe challenge of international competition.The commercial bank mainly faces credit risk, country and shifting risk, market risk , interest rate risk , mobile risk and operating the risk and etc. in business activities, among which the credit risk is undoubtedly the most important risk. Credit risk can defined as the potential possibility that debtors or trade parties of the bank cannot fulfill obligations of the agreements. The goal of the management of credit risk is to obtain the supreme risk adjustment incomes by controlling the credit risk in an acceptable range. Under the new situation of finance globalization, the commercial bank of China must use the international advanced experience managing credit risk and strengthening the management of credit risk, meeting requirements of"Agreement of Basel". The state-run commercial bank cannot meet the needs of the fast and great economic development of China unless deepens its reform. And the reform of the management of credit risk of commercial banks will have a direct impact on the success of finance reform.This essay analyzes and demonstrates the following five parts: what causes credit risk of commercial bank; the situation of the management of credit risk of commercial bank; problems existing in the management of credit risk; learning advanced experience from western countries;...