Research On The Improvement Of SME’s Credit Rating System Of Commercial Banks In Heilongjiang Province

Since the third plenary session of the 18 th central committee of the communist party proposed the decision "develop inclusive financial system, encourage financial innovation", Heilongjiang province increase support for SME, and strive to establish a new multi-level financing system of SME with the Inclusive Financial ideas. It brings another opportunity for SME’s development. However, the development is not easy for SME. SME’s financing channel in Heilongjiang province is narrow, mainly rely on bank loans. While commercial banks as the main supplier of SME still use "score card" method to evaluate the SME’s credit. And the current credit rating system is often tailored for large enterprises. It is not suitable for credit rating of the SMEs. Not suitable for rating system to a certain extent, make SME’s credit is undervalued. The wrong judgments further aggravate the problem of the financing difficulties, and also bring huge losses to the bank. Therefore, in the initial stage of the credit system in Heilongjiang Province, it has positive practical significance to build the different credit rating system of SME which has its own characteristics. It can solve the problem of information asymmetry between banks and enterprises, finish off the financing difficulties of SMEs, reduce the bad bank rate and improve the credit rating system of Heilongjiang Province.Firstly, this paper introduced the basic concepts and theoretical basis on the credit rating of SME. And to solve the difficult problem of financing of SME as a starting point, analyzes the present situation and defect of SME’s credit rating system of commercial banks in Heilongjiang province. Through the study of this article found that the existing credit rating system of Heilongjiang province is not perfect, mainly in the imperfect credit rating method, the limited credit rating index and lack of tracing reassessment and return type test and so on. Then, it used qualitative and quantitative combined, comparative analysis and case study method to study this paper. Combining with the actual operating conditions of SME in Heilongjiang province, this paper built a new credit rating index system. The index system reduced the investigation of traditional scale variables, increased the evaluation indicators of risk, innovation ability and industry situation. After determining the rating indicators, this paper selected AHP and fuzzy comprehensive evaluation method to establish the SME’s credit rating model, and through the case analysis to verify the feasibility of the model. Finally, from the perspective of the countries this paper proposed external conditions to guarantee the smooth implementation of SME’s credit rating system, that is a sound credit rating and related laws and regulations, the establishment of SME’s credit shared database, strengthening supervision and management of the credit rating. This paper also proposed internal conditions to guarantee the smooth implementation of SME’s credit rating system from the perspective of commercial banks, namely a sound credit risk management systems and processes, focusing on the introduction and training of professional personnel rating, setting up a dedicated SME sector rating and standardized rating process.