Research On Risk Management Of Agricultural Loans Of XX Rural Commercial Bank

At present,the economic growth of our country is slowing down,the risk of banking industry gradually emerges,and the pressure of bank risk management is increasing day by day.Because of the characteristics of short restructuring time,small scale and concentrated business area,the risk management ability of rural commercial banks is weak.Therefore,the risks and challenges faced by rural commercial Banks are particularly severe.Among all kinds of loans issued by rural commercial banks,the risk of agriculture related loans is the most prominent.Generally,agricultural related loans have the characteristics of low interest rate,small amount,short term and high risk.When the economy goes down,they often suffer more impact.Therefore,the risk management of agriculture related loans has become the most important part of the risk management of rural commercial banks.Based on the theory of information asymmetry and risk management,this paper uses the methods of literature research,interview,case analysis and comparative analysis to study the risk and risk management of agriculture related loans of XX Rural Commercial Bank.The paper consists of five parts: the first part describes the background and the significance of the research,and reviews the research literature about the risk management of agriculture related loans of commercial banks at home and abroad.The second part expounds the main concepts of the paper,such as agriculture related loans,risk management,etc.the main theories adopted are risk management theory and asymmetric information theory.The third part analyzes the risk management status of XX rural commercial bank’s agriculture related loan.Based on the general situation of XX rural commercial bank,this paper analyzes the scale,characteristics,risk situation and main measures of risk management of agriculture related loans.The fourth part summarizes the problems of XX rural commercial bank in the risk management of agriculture related loans and analyzes the reasons behind the problems.The paper found that although XX rural commercial bank put risk management in an important position and took a series of measures,there is still a lot of room for improvement,especially in risk prevention,risk early warning and risk disposal.The main reason behind this is that the organizational structure,system design,methods and means,talent team and risk management culture of risk management are relatively backward.The fifth part puts forward the corresponding suggestions for the reasons behind the insufficient risk management of XX rural commercial bank,which are mainly to improve the organization of agriculture related loan risk management,scientifically build the agriculture related loan risk assessment system,innovate the means and methods of agriculture related loan risk management,strengthen the construction of talent team and risk culture.This paper holds that to improve the risk management of agriculture related loans of XX Rural Commercial Bank,it is necessary to establish an effective agricultural risk management organization,give full play to the guidance of the board of directors and senior management on risk management,Strengthen and integrate the agriculture related finance department.In order to avoid the confusion and repetition of risk management responsibilities,we should determine the functional posts that are mainly responsible for each activity,and at the same time limit different departments to act independently and cause waste of resources.We need to build a scientific and reasonable risk assessment system for agriculture related loans,add analysis on industry environmental indicators,add evaluation and Analysis on the quality of the enterprise itself and the quality of the person in charge of the enterprise,and explore various risk assessment methods such as index analysis method,expert opinion method and risk tree search method.It is necessary to innovate the risk management means of agriculture related loans,introduce insurance and reinsurance,insure the loan collateral,try to dispose the non-performing assets by means of outsourcing collection and quick disposal of collateral,and give full play to the role of financial technology in risk management.It is necessary to strengthen the construction of risk management culture and talent team,establish advanced risk management culture concept,avoid risk culture becoming "political slogan",establish systematic training mechanism,refine assessment and promote business transformation and development.