The Research On The Management Of Rural Commercial Bank Credit Risk

In the beginning, rural commercial banks tend to "Based on SMES and serve the local economy" as its business strategy, has played an important role in taking on the local economy, supporting SMES and stabilizing the regional economy, promoting the harmonious development of society. However, due to the special nature of the banking system that the four major state-owned commercial banks account for the majority share of the domestic financial market, so more experts and scholars focus the study on the state-owned commercial banks, just neglect of the rural commercial banks which is a special group and the its credit risk is lack of attention.Raising the level of credit risk management of the Rural commercial banks is a systematic process and need to continue to improve. By studying the problems of the Rural commercial banks in credit management, and find practical improvement measures. It's have great significance in improving the quality of assets and promoting the local economy and building a Harmonious Society.This article will examine the perspective on the rural commercial banks which is the emerging financial strength, and to XI'Zhou Rural Commercial Bank as an example. By the Survey and Analysis of credit risk management and the increasing Non-performing loans, analysis of the problem of Rural Commercial Bank Credit Risk Management: including lack of independence of risk management, Credit risk management seriously lags behind the level of development, high concentration of credit risk, other internal control system is imperfect and so on. Then this article analyses the main reason for the credit risk: including of historical reasons, internal control mechanism of banks is not perfect, non-standard credit operations and some External causes, such as lack of social credit environment. In the last, this paper puts forward some policies and proposals about improving credit risk management of the rural commercial banks: including improving the corporate governance structure, strengthening Risk management system and the internal management system, standard operating procedures of credit, establishing early warning system about credit risk, continuously improving the credit rating system, strengthening the credit culture building and so on.