Causes And Preventive Measures Of Non - Performing Loans In SN Commercial Banks

In recent years, the situation of assets quality of commercial banks being under pressure hasn’t been relieved, which exacerbated the problem of non-performing loan in commercial banks. As the primary profit transaction in commercial banks, loan transaction is the significant embodiment of competitiveness in banks. Therefore, how to improve loan quality and how to expand the dimension of loan transaction on the basis of preventing balance increase of non-performing loan is the significant step to strengthen profit capability and reduce risks of banks. The thesis will take SN bank with typical problems in non-performing loan as research subject, through the analysis of practical situation of non-performing loan in SN bank, will helps to pinpoint the problems in SN bank, to adjust the strategies of management and development, to achieve the goal of further improving the risk control ability to loan. On the basis of making clear definition of non-performing loan in commercial banks and combining the present situation overall non-performing loan in commercial banks, based on using the bank inherent fragility theory, credit theory, loan customer relations theory as the theories, and the thesis will adopt field method and case analysis to carry out research on the causes of non-performing loan in SN bank and preventive measures. Dividing the master data of loan in SN bank according to industry distribution, loan quality and risk degree, the thesis clarify the present situation of non-performing loan combined with typical cases and summarize the characteristics of non-performing loan and probe into the causes of the formed non-performing loan. Integrated with the above conclusion, the thesis will research into the influences on non-performing loan from the following three aspects, harm to SN bank, harm to region economic development and in harm to lenders. At last, the thesis will make pointed reference to preventive measures of non-performing loan according to issues in SN bank and the whole regional economic environment.