| Owing to the reason of history, state system and policy, bank management and etc., China has accumulated thousands of non-performing assets. Until the end of 2002, Chinese non-performing assets has been up to RMB 20000 hundred million. How to control and eliminate these non-performing assets is one of the most important tasks accompanied with Chinese economic development. China has set up four Assets Management Corporations (AMC) to deal with non-performing assets. The main method is to convert debt to stock. Now it seems that the operation of AMC have achieved a lot, but we should see it through that the single method the corporations have adopted has just made the financial risk shift from bank to AMC. It's just a shift not a elimination course. The most important task AMC faces now is how to devote themselves to eliminate these non-performing assets after they have been shifted.The thesis has been divided into four sections. The first section has elaborated the special reasons of the formation of non-performing assets through a game tree. We adopt some hypothesis at the opening and then draw forth the following game tree: B 贷 不贷 C (0,0,0)履约 违约(Arn,G1,M1) B 催收 不催 C (-A-Arn,G1,M1+A+Arn-X3) 还款 不还 (Arn-C,G1-C,M1-X2) (-A-Arn-C,G1-C,M1+A+Arn-X1) Through the analysis of the model, we can come up with three conclusions: (1) Because the three most optimal payoffs of government, bank and enterprise are not in one route, we can't find the harmonious route which can maximize the expected utilities of the three parts at one time. The government has used its power to let the route of "loan-violation" become the harmonious route, which has accumulated thousands ofnon-performing assets. (2) Referring to the route of "loan-violation-not pressing for payment", both government and enterprise can get the most optimal payoffs. Although in this route the payoff of the bank is not the most optimal one, banks are not worried with it because banks and large enterprises are state-owned. So the compromise of the bank leads to such a route: "loan-violation-not pressing for payment". (3) Through the above game analysis, it seems that we can create such a scheme under which the route of "loan-honor an agreement" is the most optimal one. Only when the cost of losing reputation is larger than the additional gain of violation can this scheme be formed. It's one of the methods we can try. Through the above game analysis, we can get the special reasons of the formation of non-performing assets. These are the reason of state system; the reason of government intervention; the reason of the enterprise interior; the reason of bank interior and the reason of the deficient construction of Chinese capital market. The second section introduces the international practice into dealing with non-performing assets. First American RTC model has been recommended. Then the contrastive analysis of Japanese and Korean model has been brought out, which has given China many enlightenments such as: Depend actively on government support; Set up special institution and adopt various of methods; Treat discount sale properly; Adjust the loan structure of the bank and assist the healthy enterprises which are not state owned. The third section is the overlook of non-performing assets in our country. Four AMC have been set up since 1999. Despite that until the end of 2002, AMC have dealt with non-performing assets up to RMB 3014.42 hundred million, China now has almost RMB 20000 hundred million non-performing assets. The core force in dealing with non-performing assets now in China is AMC. Although AMC have got some investment and policy advantages, they have many limitations at the same time such as: the lack of the encouragement and control schemes; the scarce methods they use; the morality risk they face and etc. The commercial banks have also ado... |
PDF Full Text Request