A Study On Credit Metrics Model For SME Credit Loan

SME (small and medium-sized enterprise) plays an important roles in the national economy, especially on the free-labor force-absorption, technical innovation, and industrial structure perfects. But it has been faced a number of problems on its developing road. The embarrassment in financing is a serious one in the problems.The reasons of embarrassment in financing were Variously. In the present, the biggest reason is the financial institutions, such as the banks. Banks' credit estimate only focuses on the estimate of financial index which was just helpful for the quoted company and some large-sized enterprise.This article was focused on the settlement of "financing" , try to publish the useful management methods in SME's credit-estimate and credit risk management, to help the financing of banks. We based on three international popular credit-risk-management models: the Credit Metrics model which was built by J. P Morgan in 1997, the KMV model which was built by KMV company in 1993 and the Credit Risk+ model which was built by CSFB.We also take the data of an commercial bank in China to case studies. After the filter of basic data, the calculation of input parameter, we also analyze the risk level, the enough and performance of the banking capital, and, to prove the feasibility of our credit-risk-management method.