Applied Studies On IRB In Credit Risk Management Of The Agricultural Bank Of China

The credit risk is one of important risks which commercial banks face currently. Massive non-performing properties and the steep competition from the overseas bank after WTO entry, causes to enhance the credit risk management level to become one of important topics which our country banking faces.The new Basel capital accord appears officially in international in June, 2004, especially the introduction of the internal rating-based approach (IRB) provides a more a more comprehensive guiding principle for the credit risk management of the whole world commercial banking.At the same time, it also will certainly to cause the credit risk management of our country commercial bank to change greatly in the technique and the system. Therefore, it has an important practical significance to learn the advanced experience about credit risk management of the foreign commercial bank, in order to enhance the credit risk lever of our commercial bank.The agricultural bank, as one of four big state-owned commercial banks, faces the most prominent credit risk problem. The paper takes the agricultural bank as the research object. The internal rating-based approach (IRB) is a core context in the new Basel capital accord. The paper studies how to use it in the credit risk management of the agricultural bank. After learning the advanced foreign experience about credit risk management technology, on the basis of the current situation and character, in view of the credit risk management and the implementation IRB in the agricultural bank, the paper proposes some valuable suggestions and measures.This article altogether divides into five chapters. The first chapter introduces the present research background, the significance and the domestic and foreign research present situation, analyzes the function of the credit risk IRB and the necessity of agricultural bank implement IRB.