Research On Operations Risk Of State-owned Commercial Bank

With the development of Chinese economy, as well as financial asset more and more, 70% of financial asset which now value more than 20 trillion RMB belong to Chinese government. Although national commercial banks have few risks obviously, in the process of transforming from the country owned commercial bank to the shareholding system bank, some problems have gradually become various kinds of practical risks. Bad credit assets are relatively high in specific gravity in national commercial banks. From 1995 to 2004, the non-performing loan rate was above 20% all the time, even all above 25% for some years. The national commercial banks' assets are of low quality and advantage profit rate is under 10% all the time from 1997 to 2004. And the sufficient rate of capital can not reach 8% of international standard all the time, even can not all reach 5% for several years. Therefore it causes the business risk to strengthen, and capital turnover is slow, and the economic benefits fall, and it is difficult to reform system, and the serious bank swindles become more and more because inside people operate violably on the rise etc. The prevention of national commercial bank's risk is a important branch of research in financial risk and a important task as well. This text includes character of risk, standard of appraise, method and means of precaution , etc. of course actually, makes every effort to do comparatively systematic analysis to the risk that the commercial bank of our country faces at the present stage. Start with these two respects of the macroscopic of our country and micro current situation, it has described the origin cause of formation of risk of the commercial bank of our country in detail. It explains how to manage several kinds of concrete business risks to the bank of our country in terms of theory. Compare the treatment method to non-performing assets of China and foreign countries, it puts forward the relevant basic way of settlement. It analyses our country's present credit system and inside control system to bring forward to relevant basic ideas to perfect the system of credit and inside control system further. Comparing and analysing from Chinese and foreign risk management of commercial bank ,it have put forward some basic ideas of precautions against risk and made untiring efforts in order to improve the profitability of the commercial bank of our country and resist the risk further. This paper thinks that it is essential to perfect the system and it is primary to execute strictly. In order to take precautions against and already dissolved problems or soon-to-be-merged business risks and questions of different reality effectively, this article makes some summing-up or perspective research and discussion here.