Research On Credit Examining Mechanism In Bank Of China Liaoning Branch

At the end of 2003, the state decided to two to inject 45 billion US dollars to supplement the capital, officially opened to the Bank of China shares listed on the curtain.Bank of China branch in Liaoning Province accoument loss of profits in 2003, 29 per cent of non-performing assets, the ratio of non-performing loans in China's banking system in the highest fifth. Until 1999 and 2004 peeling, and suspicious transfers of non-performing loans, Liaoning provincial branch disposal of bad assets and claims the principal of 86 billion yuan, plus interest total more than 10 billion yuan. Liaoning provincial branch of the share in listed to pay high price for the formation of large amount of bad assets, and seriously hampering the healthy development of the damage the competitiveness of the Bank of China. It should realized that the Bank of China branch in Liaoning Province vast majority of the formation of the non-performing assets because there is no scientific establishment and perfection of corporate credit review mechanism.In recent years, in the aspect of the establishment of modernization of banking group risk management systems, similar to the advanced international banks, Bank of China has carried on the unremitting exploration and the practice. Meanwhile, it also has made substantial progress in the credit decision-making mechanisms. In particular, it has set up a "trinity" of credit decision-making mechanism which was centered on"investigate independently and diligently, assess the risk democratically and examine and approve with strict disciplines and constraints".As a result, it played an active role in promotion of the scientific decision-making, risk management, credit quality of assets improvement and moral hazard prevention.It is in this context that I took the credit examining mechanism in Bank of China Liaoning branch as the object of study. After sharing the reasons of Bank of China's disposal of non-performing assets, I, specifically, analyzed the existing problems of Bank of China on internal management and profoundly summarized the experiences. At the same time, on the basis of other researchers'thoughts and achievements, I carried on my description to the content of credit examining mechanism establishment, discussed its existent the questions, proposed effective solutions to the problems and demonstrated how to conduct the credit decision-making scientifically. In this way, I hope to provide some valuable ideas for Bank of China to improve its credit examining mechanism. This is also the significance why I chose Bank of China Credit examining mechanism as the research object.Through this study, on one hand, I propose to review the historical experiences and enhance the commercial banks to understand the importance and the press on credit examining mechanism establishment. On the other hand, I provide the relevant departments with some reference to perfect and develop credit examining mechanism in a new way. Moreover, I can raise my specialized knowledge in the two aspects of theory and practice. Therefore, this study has a practical meaning.Research thesis: Follow the "Recalling history– summarizing experiences - proceeding to put forward the existing problems– anglicizing them - making perfect ideas by learning from the advanced experiences at home and abroad " in the main line. First, in the research background, I explicitly pointed out the objective form of the establishment of credit examining mechanism in Bank of China. Secondly, I summarized the history, analyzed currently, profited from home and abroad, and proposed the perfect plan. Finally, on the basis of the mentioned theories and empirical analysis, I elaborated the realistic and scientific decision-making credit applications with specific cases.