China's Commercial Banks To Credit Risk In Basel Ii Internal Ratings Research

It appeared a revolution intemationally in the measure methods andthe management ways of credit risk recently. The bank credit riskmanagement technology, the tools and the methods obtained theconsiderable development. On June 26, 2004, the Basel New CapitalAccord appeared initially which was the important symbol that the creditrisk quantification management was fast developed. It urged on eachinternational advanced commercial bank to begin to develop perhaps todevelop own internal credit risk rating system in abundance.With unceasingly enlarging opening up degree in our countrybanking industry to foreign countries and strengthening the stock systemtransformation of the state-owned sole ownership commercial banks, ourcountry commercial banks even more need to connect with internationalactive in the credit risk management. But at present, in this aspectregardless of the experience or the technology, our country commercialbanks quite were all backward, just started in this domain research.Starting from the background and the development advancement ofthe Basel capital accord, this article introduces the main content and allquarter's appraisal of the new Basel capital accord, analyzes thecommercial banks how to choose the credit risk quantification method.Then it has carried on the analysis to our country bank credit risk origin and the credit risk management present situation, elaborated the difficultpoints of our country banking industry implementing the internalrating-based. According to the present situation and the insufficiency ofdomestic banking industrys, this article creatively proposes the methodand the suggestion of how constructs our country commercial bankinternal rating system, including overall frame design and concrete ratingmodel constructing, meanwhile explains the present situation of ourcountry commercial banks' credit risk management and according to therequests of Basel New Capital Accord improvs credit risk managementway and the method with an actual example.The purpose of this article is to use the credit risk internalrating-based which proposed in the Basel new capital, to use the modelinternational advanced credit risk management technology,simultaneously to unify our country bank credit risk assessment presentsituation and the particularity to analysis, attempting to provide somerecommendations and measure with reference values for seting up thecredit risk internal rating system which suits our country commercialbank.