The Business Innovation And Risks Precaution Of Commercial Banks In China

As the core of financial innovation, banking business innovation plays a very important role in the existence and development of commercial banks. After analyzing the theoretic basis, background and conditions of financial innovation, this paper brings to light the necessity of business innovation for commercial banks, and then analyzes the problems and trends of current business innovation in China on the status quo of banking industry. The author brings forward that the basic ideas of business innovation of Chinese commercial banks is to build up the modern management ideas, optimize the resources collocation and reengineer the banking operation process, and mainly do innovation in the business of personal consume credits, grant-aided credits, college credits and so on. At the same time, risks precaution is also very important and should be paid enough attention. All of these are significative for developing new business area, exploiting new kinds of financial service, risks precaution and cultivating new economic growth point.