Research On Current Credit Risk Of Chinese Commercial Banks

Credit risk has been one important factor of the main risks that obsessed the Chinese commercial banks. For quite a long period of time, most Chinese commercial banks have been confronted with the critical credit risk and high ration of non-performing assets. Although years of efforts has yields considerable improvement, new phenomenon in the formation, characteristics and basis of Chinese credit risk have taken place with the current transformations in the banks' operation environment.The article, in the first place, analyzes the changes on both the internal and external environment of Chinese commercial banks. On the basis of such analysis, the author summarizes the features and forms of the commercial banks' credit risk the current stage as well as explores the new reasons of such risk, including lack of incentive and control organism, irrational bank organization framework, shabby environment of integrity and trust during economic transformation, shortage of professional talents and unbalanced information channel. Therefore, the article calls for preventing and resolving the credit risk by establishment of effective incentive and control organism, transformation of bank internal management model, social integrity and trust system, scientific talents organism and improvement in information control.