The Research Of Risks And Precautions In Agricultural Loan Of Agricultural Bank

Commercial Banks is one of the important component of the modern financial system, its shoulders the regulating economy, credit creation, the credit intermediary, pay intermediary, and five basic functions such as financial services. In it again by credit intermediary for commercial Banks to the most fundamental, is also the most can reflect the characteristics and the nature of the business functions. The credit intermediary function not only has realized the accommodation of funds, more can let the bank earn interest income, and bank profits. Therefore, the loan business of commercial Banks always occupies an important share in the proportion of its business. But because the firm in the course of business always need to face the ever-changing economic situation and the different types of customers, it also leads to the results of its operations have a certain uncertainty, and the uncertainty is constituted the risk of a bank run. Due to the risk of commercial Banks with the business and there is a high correlation between sex, so in the system constitution and the daily operations of commercial Banks, risk management is an important part of all the time, for those large scale, especially business a wide range of large firms.As an agricultural population and the proportion of agricultural economic and population’s overall economic scale larger developing countries, together with the government always adhere to the policy on agricultural industry. As a result, the agricultural bank in similar business with other firms and to carry out normal business and personal loans at the same time, more to face the important business of agriculture, the agricultural loan-the use of lending for agriculture to promote agricultural development and optimize the agricultural industrial structure. Because agriculture has its own features such as periodic, so agricultural loans compared with commercial and industrial loans has two significant features:first, a longer period; Second, lower interest rates. As a large commercial bank, agricultural bank on the implementation of relevant national policy plays an important role, and in the face of more special loan object, thus set up a corresponding scientific and effective risk prevention system for its own self-evident importance. But in real life we can also see that because of the agricultural bank reform of property right is not clear, by own existence is not complete and lack of supervision, market positioning is not clear and bad processing does not reach the designated position, and a series of factors, which makes it faces many problems in the present moment, whether in response to risk from internal or external, is lack of the ability to resist. In the financial system, banking system and real economy becomes more and more cohesive era, represented by the agricultural bank of the big commercial Banks of financial institutions if they are not scientific management of the risks that its in daily operations and thus, in the financial system and even the national economy would be caused by the tremendous negative influence, therefore, clear risk sources and establish corresponding prevention mechanism is an important responsibility of the commercial bank itself and related regulatory.After the global financial storm in2008, the national authorities and the financial regulatory system, to realize the importance of the banking risk prevention in the consultation of a series of countries for more supervision of the banking system reached a new consensus, the consensus in Basel III came out. Therefore, the Basel III on behalf of the European and American countries in recent years to reflect, in the prudential supervision of banking experience and lessons. Throughout our country, although the modern banking system in China started relatively late, but in the dual driven by reform and opening up and economic globalization, China’s banking industry has also undergone a rapid development of history and has been gradually deeply involved in international financial affairs, but also produced some accordingly in this problem, so the foreign experience for our country banking risk regulation has certain reference and enlightenment.Due to the variability of the international financial situation, the complexity of the domestic economic situation, the particularity of the agricultural economy and government policies such wait for a reason, whether current or future, agricultural bank on its loan risk management and prevention will face more challenges, therefore, completes the corresponding risk management work is not only beneficial to agricultural bank to better play its role, is more advantageous to the long-term development and stable operation of national economy.In this paper, from2009to2011, the agricultural loan data of agricultural bank, analyzes the agricultural bank of agricultural loans and non-performing loan ratio changes and the reasons, this paper discusses the current agricultural bank on the agricultural loan business facing the opportunities and challenges, and the agricultural bank of agricultural loan risk put forward some Suggestions on how to prevent.