XY Bank's Non-performing Loan Risk Prevention Management

Since the 1980s,Chinese commercial banks have experienced profound changes in business management,risk control,business expansion,etc.However,with the constant fluctuation of the macroeconomic economy,the scale and risk of non-performing loans in the commercial banks still is constantly increasing,and has become an important index of influencing the competitiveness of commercial banks.This paper,on the basis of literature review and related theories,firstly introduces the basic situation of XY bank from five aspects,such as industry status,business type,industry distribution,regional distribution and guarantee methods.Secondly,it analyzes the present risk of non-performing loans of Chinese commercial banks,and summarizes the two main grim characteristics of its current existence,such as structure,prevention and control and five main disposal routes.Third,this paper analyzes the four main problems of the risk prevention management system of non-performing loans,and with the descriptive analysis method,pointing out the risk of characteristics of XY commercial bank about non-performing loans in scale,industry,overdue and management,and find that the risk of non-performing loans is higher.Fourth,this paper analyzes the risk prevention management system of XY bank non-performing loans,pointing out the main 6 problems that the construction of risk control system is not enough and the competitive advantage is not obvious in the industry,the loan process is too extensive and the management links are not enough,lack of specialized disposal capacity,inadequate system guarantee,legal protection needs to be strengthened,the internal management needs to be improved,the disposal path is limited and the staff management is inadequate and many forms of illegal abnormal transactions.Fifth,from the two aspects of internal and external environment in XY bank,specifically from the four main aspects,such as the commercial banks internal management,macroeconomic,borrower and government intervention factors,and then it gets the causes of non-performing loans risk with theory and case analysis,the research shows that the risk of non-performing loans of XY bank is related to the four main factors.Finally,on the basis of research results,the paper put forward some related suggestions that are establishing macroeconomic trend analysis panels,reasonable designing credit business structure distribution,carding the internal risk management mechanism of banks,strengthening the construction of early-warning monitoring model of loans risk,promoting the establishment of non-performing loan management department,expanding the disposal path of non-performing loan assets,strengthening the control of government financing platform loan,gradually optimizing the stock structure of non-performing loans,accelerating the construction of loan information management system,strengthening the technical service capacity of non-performing loans in these five main aspects,and then prospects for the future to improve the non-performing loan risk management of XY commercial bank.