Credit Risk Management Of Chinese Commercial Bank

The concept of sustainable development has been widely accepted and implemented,that is,environment protection is the precondition to achieve sustainable development..Currently,due to the tranforming speed from extensive economy to intensive economy is too slow,all enviromental problems appear concentratively,which should appear during industrialization in developed countries.On the one hand,those high polluting industries are progressing rapidly,which increases the difficulty of environment protection,on the other hand,most of the environmental enterprises are facing the problem of capital shortage. As the providers of currencies,commercial banks are necessary to promote low carbon enterprises operating. Developing the carbon credit is an importtant step to support the development of low-carbon economy, but at the same time, each commercial bank should consider how to prevent the carbon credit risk.The oretical study of this paper from the international Equator Principles, the principles of public goods, social responsibility theory, principles of sustainable development, and commercial banks on credit risk management of carbon-based analysis of the commercial banks because the development of carbon credits.This paper first dicussed the theoretical basis of carbon credit and bank credit risk management.theory, including concept, content, classification and characteristics, then the paper discussed the pioneer of domestic carbon credit Industrial Bank and its practice, manegement of carbon credit risk.And next we introduced the practice of carbon credit of foreign commercial banks.At last, on the basis of the cases, we discussed the status of carbon credits and carbon credits internal controls, credit ratings and risk warning, process control, risk prevention measures of domestic commercial banks.