The Research Of Stress Test Method Applied In Agricultural Development Bank’s Credit Risk Management

As an agricultural policy bank, Agricultural Development Bank of China is one of the three policy banks of China, funded in1994authorized by the State department. The original task of the bank is to provide financial intermediation for grain, cotton and oil purchasing and storage, agricultural development, poverty alleviation, and other policy-related business activities approved by the state. Since its establishment, the Agricultural Development Bank has made the healthy and orderly development of fruitful work for the steady development of the rural economy, especially for grain and cotton circulation..So it is urgent to improve the Agricultural Development Bank’s risk management methods of loan. This paper intends to learn from commercial banks, and the Agricultural Development Bank is applied by stress-testing methods for credit risk. At the basis of the above, the corresponding countermeasures and suggestions are concluded. This paper is based on related theories of risk management at home and abroad, taking Jiangsu Province branch of the Agricultural Development Bank for example, to build the Agricultural Development Bank of the risk prevention system. In this paper, the whole is divided into five parts. The first part is article introduction. Part Ⅱ is about the development and business analysis of the Agricultural Development Bank of Jiangsu Province, and the main analysis focuses on the scale, risk types, characteristics. Part Ⅲ is the empirical analysis of the credit risk of macroeconomic stress tests of Agricultural Development Bank, taking the branch of Jiangsu Province for example. Part IV is of macroeconomic stress tests for credit risk applications, summary and policy proposals.