Research On Credit Risk Management Of Small And Micro Business In Bank A

After the implementation of the reform and opening-up policy,the number of small and micro enterprises has increased rapidly,and their position in the market has become more and more prominent.They have gradually become an indispensable force for the development of productive forces in China.Small and micro enterprises have flexible business forms and more industries involved,especially in technological innovation.While small and micro enterprises have high innovation ability,they also have their own weaknesses such as weak strength and poor management ability.Limited financing is the difficulty that restricts the development and growth of small and micro enterprises.Compared with the mature large and medium-sized enterprises in various aspects,for one thing,small and micro enterprises are more likely to default on credit due to environmental,industrial and economic factors.For another,small and micro enterprises also need to pay a higher cost in credit risk management.Some credit risk indicators originally used to evaluate large and medium enterprises can not be used to evaluate and measure small and micro enterprises.If financial institutions want to share dividends through cooperation with small and micro enterprises,they must pay attention to the credit risk management of small and micro enterprises.This paper takes the credit risk management of small and micro enterprises of Bank A as a specific research objective,and combines with the specific development of foreign banks affiliated to Bank A,through discussing and analyzing the relevant cases of credit business of small and micro enterprises,finds out the problems of risk management of credit business of Bank A in small and micro enterprises,and the root causes of the problems,and puts forward some suggestions for improvement.Measures for risk management of micro-credit business.The main contents of this paper are as follows:(1)The current situation of the credit business of small and micro enterprises in Bank A and the risk management of the credit business of small and micro enterprises are analyzed.(2)Analyzing the actual cases of the credit business of small and micro enterprises in Bank A,and summarizing the deep-seated causes of the problems.(3)Combining with the theoretical results of the credit business of small and micro enterprises,and investigating the development of bank A.This paper makes a deep research and Discussion on the problems existing in the risk management of bank A’s micro-credit business,and then finds out the problems,mainly including the failure to implement the management system,the unscientific structure of the credit business of small and micro enterprises,the unreasonable credit business process of small and micro enterprises,the inadequate means of credit risk management of small and micro enterprises,etc.Finally,it is concluded that the most fundamental reasons for the above problems lie in the asymmetry of information,insufficient accumulation of wind control culture,neglect of customers in small and micro enterprises,and neglect of personnel training.(4)Based on the above research and the actual situation of Bank A,this paper gives some suggestions on how to improve the credit risk management of small and micro enterprises in Bank A.It mainly gives reasonable suggestions in five aspects: strengthening the credit management system,adjusting the credit business structure of small and micro enterprises,optimizing the credit processing process of small and micro enterprises,improving the intelligent level of credit risk management of small and micro enterprises,and strengthening the construction of credit team of small and micro enterprises.The purpose of this paper is to provide practical and reliable advice and guidance to Bank A on credit risk management of small and micro enterprises in the context of market depression and frequent financial risks.