Macroeconomic Factors Impact On The Credit Risk Of Listed Companies

Since the first stock was listed on1984in China, the number of Chinese listed companies has reached more than2300after30years of development. With the number of listed companies on the rapid rise, the ratio of total assets and total output of listed companies to total economic capital and output is increasing continuously, which has played a significant role in China’s economic development. Listed companies are those that have good earning capabilities and hold relatively strong position in their specific industries. These listed companies have been the major borrowers from banking industry. Thus the whole credit risk of listed companies becomes the main part of the credit risk facing China’s banking industry. Researching on the factors affecting credit risk of listed companies has its value for the risk management of commercial banks.This paper focuses on the study on the effects macroeconomic factors have on credit risks of listed companies and how. Previous studies mainly attempted to research the relation between a listed company’s specific conditions and its credit risks. Actual economic experiences indicate macroeconomic factors affect the credit risk of listed companies through different mechanism while the credit risk is subject to the effects of company-specific factors. Based on this, this paper sampled923A-share company stock data listed on Shanghai Stock Exchange, utilized the KMV model to measure their credit risk, and employed the panel data model to explore the effects of macroeconomic factors have on the credit risk of listed companies. And in the last part of this paper, it analyzed the channels through which macroeconomic factors affected credit risk of listed companies in real-world economic operation and its policy value based on the results of empirical studies.