The Risk In The Credit Management Of The Agriculturar Development Bank Of China, Jiangsu Branch

The key to realize the "well-off society is to solve the "three issues in agriculture". Enlarging the support to the farmers needs to give play to the effect of policy-oriented agriculture bank. For realizing the objective of constructing the "well-off society earlier, the Agricultural Development Bank of China (refers as ADBC) has to adjust and perfect the function of agricultural policy finance constantly, establish the organization system of management and operation, strengthen the knowledge to the importance and necessity of risk management, make the risk management as a key point of development strategy, try hard to keep away and disperse the various kinds of risks. So the ADBC will make the new bigger contribution for the agriculture development and increasing the income of the peasants and the stability of rural area.This article starts from the development course analysing the advanced theory of risk management in home and abroad, and then with its advanced experiences for reference, combining with the operation condition of the Jiangsu Province Agricultural Development Bank (refers as JPADB), it thoroughly analyses the risks of JPADB is facing and the hidden troubles in the course of credit management. It profoundly anatomizes the reasons of how the risks come into being with the risk management theory in home and abroad. Combining the policy finance risk management experience of Agriculture Development Bank and the condition of Jiangsu Province's cotton and grain market, it analyses the grade bank management experience that the JPADB first created as well as the standardization management and the risk management method of the credit grade evaluation that executed prior in the whole nation.This article analyzes the risk in the credit management with modern thories of finance risk management, investment management, management, financial management, marketing and so on, has some innovations at the following aspects: first, it combines with the general theory of the risk management in home and abroad with the particular policy finance riskmanagement of the agriculture development bank-thus it has some innovations in the reference. It analyses the policy risk, the management risk and the operation risk that the JPADB is facing presently as well as some new variations of the credit risk along with the cotton and grain market is opening. Especially it analyses changes: the stockpile risk into the arrear risk, operation risk changes market risk, and credit risk into finance risk. Secondly, when it analyses the risk management method of JPADB with the standard method, inside grade method, grade bank management and so on, it analyses the abuse of this method and put forward the view of oneself. Thirdly, it analyses how to keep away and separate the market risk that comes into being in the purchase and sale with non-protection price of the grain the JPADB is facing.