A Study On The Credit Risk Of Commercial Banks Loan To SME: Valuation And Management

Whether in developed or in developing countries, SMEs, an important component of a country's economy, have played a significant role in providing employment, stablizing society and activing economy,etc. However, SMEs' the most major problem which encounters in the developing process is that their fund is insufficient,which in China is particularly severe. To solve the problem of financing SMEs, the state has introduced a series of policies to encourage and call on commercial banks to provide credit support. Commercial banks one is to respond to calls, another is to increase profits. With the accelerated process of inteset rate market-oriented,commercial banks have expanded the credit support for SMEs. Nevertheless, from the SME lending ,commercial banks get its revenue and hence risks,which SMEs are unwilling or unable to repay loans,that's the credit risk. How to evaluate and manage the credit risks is a big problem that commercial banks facing in pratice.This paper based its study on theory and applied examples, the integration of qualitative analysis and empirical analysis . Theory is mainly theoretical analysis of the SME loan's credit risk,its meaning, causes, evaluation systems, as well as commercial banks manage credit risk via credit derivatives; Practical demonstration scenario is a combination of illustration, commercial banks use credit derivatives to manage the credit risk of the steps and methods. SME credit risk analysis, not only from the perspective of qualitative analysis and evaluation of small and medium-sized enterprises, but also through a logistic discriminant model, quantitative to qualitative and quantitative factors inspected loan default. The full text is divided into five chapters, and from the logical relationships ,it can be divided into four parts :The first part ,also Chapter 1, is a introduction to this paper, which describes the background, purpose and significance of research, the methods and framework of paper, as well as innovation ,the literature review, the role it plays programmatic.The second part includes chapter II and III, discusses how to evaluate SMEs'credit risk. First of all conduct qualitative analysis of credit risk ,which includes : a general brief for credit risk, and then the description and analysis of the content of SME credit risks, characteristics and causes of the problem and proposed a SME credit risk assessment ideas, after that, attempts to establish a credit evaluation system for SMEs. Chapter 3 : An Empirical Analysis .Begining from the principles of logistic regression model, moving into the SME sample selecting and data mining, using SPSS for...