Credit Risk Measurement And Management Strategy Research Of L Bank Shenyang Branch

Nowadays,our country’s economy is going to a new ordinary stage of comprehensively deepen reforms.With the rapid advance of financial marketization process, and the depth of the traditional industry structure reform, and other important economy adjustments. As the main intermediaries of traditional financial industry, the commercial banks would face increasingly diversification and complication of all kinds of financial risks. Because of the loan transaction is still the main assets of commercial banks, credit risks should also be one of the most important risk faced by commercial banks. Considering the basic national conditions of China and the commercial banks business development, the management of credit risks in our country’s commercial banks have a big gap with the developed countries. Credit risks management by establishing the mathematical model is particularly weak in our country. Therefore, China needs to speed up the research of credit risks quantitative management methods according with the characteristics of its own business development, and improve the commercial banks’credit risks prevention awareness and management level.This paper will take a project loan of L bank Shenyang branch as an example, using quantitative analysis method to measure the size of the credit risk of loan. First, the modern credit risk measurement method, choose to suit our country’s credit risk measurement model, CreditMetrics model as the foundation model. Then, this article will choose L commercial bank Shenyang branch as an empirical case study, using the bank’s credit loan related data, verify the application effect of CreditMetrics model by L bank. Finally, based on the summary of this article, through the understanding of theory and case study, suggestions for L Bank Shenyang branch credit risk control will be given.