Study On The Credit Risk Management Of C Rural Bank

ABSTRACT:Along with the deepening of China’s comprehensive rural reform, the economic development of the rural areas of China increasingly presents some new features. Accordingly, the demand of farmer households for financial services changes and develops. With the continuous progress of China’s financial reform, four state-owned companies close up their scope of business to urban economy. As a result, financial services focusing on serving agriculture, farmers and rural areas are in serious demand. In this context, village banks, aiming to serve agriculture, farmers and rural areas and propel country economy, came into being.The appearance of village bank has made an positive impact on animating rural financial market、consummating rural financial system、 setting up the new channel of rural financial supplement and improving rural financial service. But as a new form of rural financial organization form, village bank’s running time is short and it is not enough develop. So there are many problems inevitably. Especially as the experimental scope is spreading and financial innovation is increasing, financial risk problem increasingly becomes the most important trouble that village bank is facing.Specifically, studies and discussions upon rural bank credit risk management are carried in this essay. Based on reviewed and analyzed rural bank and risk management theories, The article cleared the related concepts and theories, and ultimately determined the research thought and methods. Firstly, combined with the particular condition of Hunan province, the development course and the current condition of rural banks are presented at macroscopic level. Then theoretical analyses of credit risk causes and risk management contents are given. The essay focused on the detailed discussion on the example of commercial and agriculture banks in Cili town. Through the study on the risk performance and the risk management previous researches, the essay attempts to find out the existing problem in current risk management, and seek out the corresponding causes, finally propose solutions to the problems.