A Study On The Non-performing-loans Of HB Commercial Bank

After China's entering to WTO, banking will be open to international market at the end of 2007. In the face of oppression by foreign capital bank and reform of national financial system, state-owned commercial banks have to improve their competitiveness. However, numerous Non-Performing Loans have become the huge obstruction of state-owned commercial banks' improving competitiveness and accelerating development. On the basic of those above, researches on Non-Performing Loans have important theory meaning and practical meaning.Firstly this text introduced the Non-Performing Loans actuality of HB commercial bank, which included huge Non-Performing Loans balance, high Non-Performing rate, high bad debt rate, and large difficulty of treatment. It also analyses the cause of formation of Non-Performing Loans in HB commercial bank on the aspects of government decision, economy system, enterprises credit, and interior management of HB commercial bank. Secondly, the text introduce many disposing measures for Non-Performing Loans in HB commercial bank, including bad debt concentration management, dun to enterprises, public sale of pledge, legal litigation, the combine of credit convey and debt recombined, and discounting sales of Non-Performing Loans. At the same time, the text appraised on the Non-Performing Loans disposing situation of HB commercial bank, and introduced achievement made by some measures, such as bad debt concentration management. It also analyzed the reason of bad performing of legal litigation, and discounting sales of Non-Performing Loans.At last, the text put forward some particular suggestion from two aspects, dealing with exiting Non-Performing Loans and avoiding new Non-Performing Loans. It suggested improving notion cognition, establish information flat, diversification of disposing measures, and optimizing relationship between bank and government. Avoiding new Non-Performing Loans need HB commercial to transform credit management system and improve loan risk evaluating and controlling system.