Study On Policy Guidance Loan Project Evaluation Of The Agric Ultural Development Bank Of China

As the only agricultural policy bank of China, in the situation of the gradual improvement of national policy financial reform program, the Agricultural Development Bank of China will always take the policy credit business as the most important work to carry out comprehensively and efficiently. It will continue to consolidate its role in policy implementation by strengthening super vision of crediting and loaning, optimizing the loaning structure to regulate and promote the development of credit and loan business. In the future, the main direction of the loan business of the Agricultural Development Bank of China will focus on the area of the mid-term and long-term credit and loan in the agricultural development and rural infrastructure construction, namely the policy guidance project loan. With the increasing of the proportion of the policy guidance projects loan in the whole loan business, its potential risk swill be also increasing. To avoid credit and loan risk, the Agricultural Development Bank will take measures including standardizing the management and reducing operational risk to lower the incidence of nonperforming loans. As the first necessary requirement of the loan, project assessment survey is very importance and necessary. The result of the assessment, correct or wrong, will have a direct impact on the loan recovery rate. At present, the increasing of the nonperforming loan in current policy guidance loan exacerbates the speed of the deterioration of the credit assets. The reason for this kind of problem is because the project architecture and data entirely dependents on the content from "Project Preliminary Design Report" and "feasibility study report and its approval" when the project staff is doing the investigation and assessment of the policy guidance project so that part of the loan investigation and assessment keeps away from the actual adaptation, and contrary to the nature of the bank loans while increasing the risk of the loans, and thus lose the criteria and the rules for judging and evaluating the result of assessment.As of these issues, in this article, I will take advantage a particular example of the water conservancy construction loans in the policy guided loans, analyze the issue we have in the practical business, provide the solution to lower the incidence of the potential risk so that we can constantly improve and enhance the business analysis and management level of the policy guidance project loans in the Agricultural Development Bank, firmly establish brand and image of the’ Bank of the new countryside construction’, and make Agricultural Development Bank playing a real role of backbone in the country side development.