Research On The Commercial Banks' Credit Business Performance Of SMEs

China's market economy has undergone qualitative changes since the reform and opening up.The role of SMEs(middle and small-sized enterprises)in economic development has become increasingly important.As the most active part of market economy,SMEs are the blood of market economy and the main driving force to promote China's economic growth.However,the problem of financing difficulties has been restricting the SMEs.The restriction of growth and development has attracted wide attentions.Bank financing is the most available way for SMEs to obtain external financing.As the backbone of financing for SMEs in China's banking industry,whether commercial banks choose to expand the financing business of SMEs is crucial.With the continuous expansion of commercial bank credit scale,while promoting the rapid development of SMEs,there is still big gap for improvement in concepts,policies and business processes,so the financing of SMEs can't be fully satisfied.The fundamental reason is that commercial banks are the main structures of market economy,so they must consider the multi-dimensional operation objectives of cost,risk and income at the same time.If commercial banks make every effort to develop SMEs' credit business,although it can alleviate the difficulty of SMEs' loan in the short term,it may shift the focus of operation for commercial banks,and SMEs' risk is higher than that of large enterprises.Developing SMEs' credit business will increase their operating costs and audit costs.Therefore,commercial banks need not only consider external financing for SMEs,but also consider their own profitability and self-development from the perspective of their own operation.So can commercial banks also improve their profitability and achieve their sustainable development under the goal of social responsibility to support the development of SMEs?In order to answer this question,we use case and empirical analysis methods in the paper.Taking the financing of SMEs of X Bank as an example,this paper studies how to alleviate the financing difficulties of SMEs in commercial banks and realizing their own sustainable development.Through data collection and empirical analysis,we analyze the financing market mechanism of SMEs in commercial banks under the targeted reduction policy.At the same time,we explore whether the social responsibility goal of X Bank in developing SME credit business is compatible with its sustainable development goal.Finally,we put forward some thoughts on how to promote the financing of SMEs in commercial banks.