Research On The Credit Risk Management Of A Rural Bank

With the continuous development of Chinese financial market,four state-owned banks and some city commercial banks gradually transfer their market position from countryside to city,resulting in a serious lack some of the more backward rural areas and financial services institutions in urban areas.To solve the financial institutions network coverage in rural areas is low,financial supply shortage and insufficient competition and other issues.With the strong support of state and government,rural bank as a new rural financial institution came into being.However,the presence of rural banks relatively large difference with the general commercial banks,the development of towns and villages are also far better than big city business enterprises,in the face of a variety of risks from the market,clients and their own organizations,the credit risk of its business during the most important risk facing higher degree of credit risk.The higher the degree of credit risk,the difficulty the greater credit risk management.Resulting in the problem of credit risk is more significant highlight.Therefore,this paper studies on various issues A rural bank presence in the process of credit risk management,including: operational risk increased the difficulty of A rural bank risk managers to control risks;increase the moral hazard risk management in accepting the loan officer,the difficulty in the loan review and post-loan risk control;and increased risk of default of the village line screening borrowers difficulty and recover overdue loans more difficult.In this paper,according to ask questions,analyze problems,problem-solving ideas to expand research,integrated use of literature analysis,comparative analysis,data analysis,chart analysis,qualitative and quantitative analysis,draw a countermeasures tosolve the credit risk management issues of A rural bank.The basic conclusion of this paper is: internal management,first of all,by enhancing the ability to identify risk,credit risk assessment of the introduction of quantitative analysis,innovation and resolve credit risk methods to enhance the credit risk control and risk management personnel;second,by strengthen loan officer ranks were able to get credit in the acceptance stage before the loan,loan review stage and post-loan management stages do effectively identify risks and risk prevention,risk control and risk mitigation;external management,first by strengthening credit cultural construction of the initiative to reduce default risk borrowers;second,by guiding farmers engaged in high-yield industry to reduce the difficulty due to the breach caused by passive recovery of overdue loans.Thereby,solving the problem of credit risk of the A rural bank effectively.