Research On Risk Management Of Loan Business Of State-owned Commercial Banks

Following China's accession to the WTO and the deepening of reform, the competition among the commercial banks is more and more intensive. Our commercial bank's management is facing the unprecedented challenge. In this condition, our commercial banks must clearly recognize own strengths and weaknesses, and take measures to maintain the strong competitive power. The biggest obstacle faced by the commercial banks is the risk of management, especially the credit risk. The huge bad assets have placed a heavy burden on business, and also pose a great potential risk on the economic security. Therefore, the management of credit risk should be the most important thing in commercial banks. The report sets out from the credit business of our commercial banks. It analyses the reason of the credit risk from three aspects: borrower, bank and government, and also gives the suggestions on how to keep away from the credit risk.