The Problems And Countermeasures Of Internal Control Of BD Branch Of Agricultural Bank Of China

In the 1990 s,the internal control of commercial banks faced with unprecedented crisis after the Bahrain bank bankruptcy,the bankruptcy of Bank of Japan,and the Asian financial crisis.The institution of International Financial Supervision particularly concerned about this.The Basel Committee stressed the importance of internal control of commercial bank in a series of documents.Our country also gradually realized that improvement of internal control is the foundation of running commercial banks well;it is also the guarantee of risk prevention,benefit increase,prudent operation and sustainable development.Many domestic banks are also on the construction of internal control to make the beneficial exploration,referencing the advanced concepts of internal control,and established the basic framework of internal control.Even if internal control is playing an essential role on the constant improvement of corporate governance mechanism and the construction of risk management system,internal control of our country is still facing many problems as the influence of internal and external factors.The imperfection of internal control environment and risk assessment procedure causes generates many banking scandals.Nowadays,control and prevention of risks,the reduction of risks of internal control,need to be addressed in our country’s banking industry.This paper selects a secondary branch from a large state-owned bank.Although the bank has set up the internal control,there has been some problems on the internal control.The branch needs to attach great importance to the issues from its internal control,improve the construction of its internal control mechanism and build a ‘firewall’ of risk prevention.This paper states the internal control of basic-level agricultural bank firstly,then analyzes the current internal control status of BD agricultural bank through data collection,evaluation and analysis,chart analysis,case study and other methods in order to do an intensive research of this bank’s internal control situation,analyze the existing problems and causes of its internal control.Finally,this paper makes a suggestion to improve the internal control of BD agricultural bank on following aspectsThe purpose of this paper is to provide reference to branches of state-owned commercial banks and other banking institutions on construction of internal control.