Icbc Non-retail Credit Business Credit Limit Approved Research

As banking is an industry with most concentrated claim-debt relationship, most complex transaction, and a center of different interest relationships, it holds an important position in the national economy. Also, the banking management level is of great significance in economic stability and development. At this stage, non-retail credit business is still the most basic and important business in Chinese commercial banks, while credit risk is one of the most crucial risks faced by non-retail credit business in modern banking industry, therefore the risk quantification and management of non-retail credit business is the difficulty and priority for the development of Chinese commercial banks. Compared with international advanced risk management, to analyze credit risk by using modern risk management model in China is still in its initial stage. Major commercial banks are trying to build up reasonable and feasible methods of risk quantification and management.This paper took ICBC as an example. Firstly, it explained the current status of credit ceiling approved methodology on non-retail credit business in ICBC, found out its direction of improvement. Secondly, it analyzed the development status of credit ceiling approved methodology on the international and domestic non-retail credit business, selected the applicable model in the comparison of the advantages and disadvantages of various credit ceiling set methods from international advanced banks. Finally, it tried to set up a new ICBC credit ceiling approved methodology for non-retail credit business on the basis of constructing IRB approach in ICBC under Basel Capital Accord. At the same time, the paper showed verification methods for the new methodology, summing up its positive role and practical significance, enabling the new methodology to be adapted to ICBC operating characteristics, to make a balance between regulatory authorities, banks and enterprises, and other interest groups. The study attempted to explore the development way of risk quantification and management for Chinese commercial banks, enhance the quality and efficiency of credit decision-making, deepen the reform of Chinese commercial banks.