A Study On The Financial Analysis Of Credit Approval Of Commercial Banks Under The Harvard Analytical Framework

The financial analysis in the traditional credit approval is mainly based on the historical data of financial statements, but the financial statements can only reflect the financial information of an enterprise in a past period, rather than unquantifiable information about the present and future of the enterprise. Therefore, information about the loan enterprise, such as the industry information, development strategy, etc. shall be learnt fully in credit approval, and the present operating condition of the loan enterprise should be learnt, so as to recognize the key accounting factor, carry out financial analysis and look into the prospect of the loan enterprise with the strategic analysis as the starting point of the financial analysis for the credit approval.The innovation of this paper is mainly the application of Harvard analytical framework in the credit approval of commercial banks for perfecting the financial analysis system in the credit risk approval. With the strategic analysis, accounting analysis, financial analysis, prospect analysis and prospect analysis under Harvard Analytical Framework, key accounting information can be recognized, the present and future cash flow condition of the loan enterprise can be reflected much more accurately, and the potential risks of loan customers can be recognized for reaching the purpose of preventing the risk of credit extension, by learning about the development strategy and industrial information of the enterprise.In this paper, with ZX as the target of case analysis, the development strategy, operating condition, financial condition, and development prospect of ZX are analyzed with qualitative and quantitative analytical method and Harvard Analytical Framework method, for discovering the potential operating and financial risks of the company.Through theoretical and case analysis research, the following conclusions are reached: the financial data of the enterprise is analyzed and predicted in a development view under Harvard Analytical Framework, with the development strategy of the loan enterprise as the starting point of the credit approval, and it improves the accuracy of credit approval analysis.