The Research Of Credit Risk Management For Small And Medium Enterprises In The Industrial And Commercial Bank Of China B Branch

Nowadays, the commercial bank credit risk of our country is paid much moreimportance due to the international financial crisis, the domestic economic developingspeed reducing, sa well as the ignorence of risky asset behavior, which show thefar-reaching influence of financial risk and economic infection on accumulated realeconomy. In the process of China’s economic reform and development, small andmedium-sized enterprises,on one hand, play an increasingly important role in improvingthe national economy development and creating the employment, on the other hand theyare restricted by the financing difficulties of the overall industry development. Creditrisk problems and credit reluctance of loan for SMEs are the major barriers to thedevelopment of the SMEs as well as other related banking service.In this paper, SMEs loan in steel industry of the Beijing branch of ICBC is taken asan example in the reseach of the SMEs credit business problems, which show that thecredit business not noly take a larger proportion of increasing profit income, but alsotrigger the credit risk problem.The path to prevent the credit risk of SMEs is provided bythe scientific design of loan process procedure and strengthen the industry analysis, Thearticle has the strong theory value and the practice significance in the SMEs loanimprovement. The conclusion is given by the author though Case analysis,Five-Forces-Model analysis, finding that the risk exists in the ICBC for SMEs creditinclude: the macro policy environment, the risk caused by information asymmetry, theindustry volatility risk, the management problem. According to the research,recommendation is provided such as the improvement of credit risk management in SMEssystem, strengthen the management of SME credit, improvement of loan process andimprovement of the personnal training.