Research On Credit Risk Of Small And Medium - Sized Enterprises In Changzhou B Bank In Jiangsu Province

With the external impact of the international financial market turmoil due from European debt crisis, as well as the internal constraints such as the tightened domestic monetary policy and downward credit growth, China’s macro economy faces more pressure. According to the operation of macro economy and the main industry in2013, macro economy has entered a downward economic cycle. During this period, the cost of production and financing for small and medium enterprises rises, survival pressure increases, management state is worsen, the risk of debt default increases, commercial banks’non-performing loan rate rebounds, which hurts the commercial banks’ enthusiasm to develop small and medium-sized enterprise business. However, government departments, bank regulators still require commercial banks to increase support for SMEs, bringing commercial banks into a more embarrassing situation. How to strengthen risk management, control the non-performing loans of small and medium-sized enterprises in a relatively reasonable and tolerable range, as well as realize the sustainable development of small and medium-sized businesses in the economic down cycle, becoming a practical problem that must to be solved for all commercial banks.Although the analysis and management method for credit risk has become mature, how to grasp the credit risk of SMEs in the economic downturn period is less emphasized according to the research literature at home and abroad. Therefore this research sets the credit risk control of SME in the economic down cycle as the research object, summarizes the relevant concepts in theory, and puts forward ideas and suggestions during the economic downturn to guard against credit risk of small and medium sized enterprises on the basis of the analysis of the situation of economic development in Changzhou City and the SME credit status in B Bank. The research has certain practical significance and reference value for improving the credit risk control system of China’s small and medium enterprises.