Research On International Trade Financing Risk Management Of N Bank Wujiang Branch

In recent years,the profit of the traditional credit business in N bank Wujiang branch has been gradually reduced.Because of the diversity of financing products and the flexibility of financing forms.International trade financing business is gradually becoming more and more important in the intermediate business income.Because of unremitting efforts,the international trade financing business of N bank Wujiang branch has been launched in an all-round way.with the total amount of financing rising significantly.but the bad debt ratio of financing is also rising year by year,especially in the areas of letter of credit trade financing and foreign-related insurance business.By 2020.the non-performing rate of trade financing loans of N bank Wujiang branch has reached 11%,far exceeding the risk tolerance of 5%.This reflects that the trade financing risk management of N bank Wujiang branch needs to be improved,and how to better control and prevent risks in trade financing has also become the current hot spot of N bank Wujiang branch.Firstly,this paper reviews the related theory of international trade financing business and risk management,identify the risks of international trade financing business.On the classification of national policy risk,credit risk and operational risk,which the main risks of the international trade financing business are,we analysis the methods of trade financing risk management.Then,according to the actual risk management of trade financing business in N Bank WuJiang branch,with enterprise risk management theory and method,combined with the risk identification and evaluation theory,from the external environment,internal situation of bank and bank customers,we design risk evaluation indexes and trade financing risk model of assessment.After that,with quantitative analysis on the proportion of risks of various financing products,finally we propose optimization strategies for N bank’s problem in financing risk management.By virtue of risk assessment of international trade financing business,this paper puts forward optimization countermeasures on the weak points of N bank Wujiang Branch’s trade financing risk management obtained from the empirical analysis results.I hope to provide effective suggestions for the managers of N bank Wujiang Branch in preventing and resolving the risks of international trade financing business.