Research On The Environment Risk Management Of China’s Commercial Banks From The Perspective Of Risk Assessment

There is no link with environmental issues at the beginning of the birth anddevelopment of the banking industry. However, as the global ecological environmentis worsening in recent years, people begin to think about the causes of environmentalproblems and come to realize that the reason that some large construction projectswhich cause environmental damage can be built so smoothly is closely related withloans from banks which give financial support. To regulate and manage banking’sinvestment with environment sensitive projects has become the consensus of everycountries and regions. Under the double pressure of the external environment andtheir own sustainable development, commercial banks also begin to think about howto effectively manage the possible environmental risk of the loan projects, givingconsideration to profit and environment protection. Therefore, to explore the contentand motivation of commercial bank management of environmental risk, combinedwith the practice of foreign commercial bank which use the equator principles ofproject case, analyzing the current appearance of local commercial bank in theenvironment risk management, and to perfect our country commercial bankenvironmental risk management countermeasure have important practical significanceto the sustainable development of our country’s banking industry.This article starts from the present situation of the global environment problemsand banking social responsibility, and then discusses the content and motivation of thecommercial bank environment risk management combined with the theory offinancial sustainable development, enterprise social responsibility and comprehensiverisk management. With cases of Bank of China, China Construction Bank, Industrialand Commercial Bank of China, China’s Industrial Bank and other large domesticcommercial banks, the paper analyses the current situation of domestic environmentalrisk management in terms of policy system, information disclosure and abilityconstruction. Moreover, this paper uses cases of Citibank, Japan Mizuho Bank andChina’s Industrial Bank to research the specific practice of the equator principles.Based on the above theoretical research and case analysis, from the macro-environment and micro-environment, the paper puts forward suggestions on how toperfect the work of banks’ environment risk management. Besides, the paperconstructs the assessment method of heat-engine plant.