Case Study On Credit Risk Management Of Agricultural Development Bank Of China

Agricultural Development Bank of China plays an essential role in the implement-ation of national agricultural policy.One of the branches of ADBC,as a state-owned agricultural policy bank directly under the leadership of The State Council,has risked its credit business due to the investment in weak agricultural industry.The thesis aims to resolving its credit risk through the scientific assessment and management.In view of the current situation of credit risk management,this dissertation locates its risk through risk identification research,and the credit rating model is constructed to rationally evaluated its credit risk level,and the risk control is adopted to resolving loan risks.Subsequently,the constructive schemes are proposed for credit risk management design and credit risk management process improvement according to the assessment results,and detailed operational steps are provided for its implementation and guarantee of credit risk management.First of all,the research results indicates that the major risks of this branch are from policy,operation and credit,showing as medium to low risk level overall.Besides,the policy risks should be resolved by increasing operating efficiency,improving the concentration of loan structure,and establishing risk sharing mechanism.For operational risks,it was resolved by strengthening internal management and optimizing the operating system of credit business operations.For credit risks,it is resolved by methods such as preparing credit risk assessment tables,considering inter-industry cooperative financing,strengthening the supervision of customer-related companies,and focusing on the main indicators of corporate cash flow analysis.Finally,safeguard measures are proposed from five aspects of personnel,organization,system,information and culture to support the implementation of credit risk management programs.Help Branch A comprehensively resolve its credit risk,and provide corres-ponding reference for other branches,so provide an vital reference for the implement-ation and improvement of credit risk management of my country’s policy banks.