Research On Credit Risk Management Of A Rura Commercial Banks

Rural areas in the economic and social development of China are weak,and their development cannot be achieved without supporting the credit of the bank.As a financial institution born in rural areas,rural commercial banks are the main force in the development of trust funds in rural areas.Rural commercial banks are well developed and can respond to rural development.The development of rural commercial banks is also weak,which is also stopped from developing local rural areas.Currently,the most important source of profit for our commercial banks is still the boundary of traditional profits.In this profit model,the ability of banks to collect loans safely to develop their own commercial banks is important.The former rural banks in China were primarily rural credit collaborators.Compared to the city’s commercial banks,their credibility management is relatively low.In recent years,our rural commercial banks have improved their trust funds risk management,but there are still some distances compared to other banks across the country.China’s economy is now being introduced into a new situationt,the trade war between American and China,the moving out of supply chains,the contraction of consumption,the aging of population and other negative factors.The economy is facing a very difficult situation,which poses a major challenge to managing the risk of rural banks’ trust funds in China.The research object of this article is A Rural Commercial Bank,which is rooted in rural areas.The research direction is the bank’s credit risk management.Based on the current situation of credit risk management of Rural Commercial Bank A,this article first identifies the bank’s credit risk from three different dimensions: A Rural Commercial Bank’s credit business overview,credit risk asset status,and credit risk management status.After identifying the credit risks of A rural commercial bank,Analyze the reasons of the bank’s credit risk;Then,it evaluates the credit risk of Rural Commercial Bank A through the analytic hierarchy process and fuzzy comprehensive evaluation method,qualitatively evaluates the credit risk of the bank through the analytic hierarchy process,and quantitatively evaluates the credit risk of the bank through the fuzzy comprehensive evaluation method,achieving a combination of qualitative and quantitative evaluation to comprehensively evaluate the credit risk situation of the bank;Finally,the credit risk control suggestions for Rural Commercial Bank A are proposed.Based on the previous evaluation of the credit risk of Rural Commercial Bank A,targeted at the existing problems of the bank,corresponding credit risk control suggestions are proposed to comprehensively improve the bank’s credit risk management level,reduce credit risk,and reduce credit losses.laying a solid foundation for the long-term development of the bank.It also provides a set of reference and replicable credit risk management models for other rural commercial banks in China.