Research On The Improvement Of Small And Micro Enterprises Credit Risk Management Of Everbright Bank Shenyang Branch

The importance of small and micro enterprises in our country cannot be ignored all long, which has a significant impact on the rapid development of China’s economy and society. In the economy, small and micro enterprises cause the rapid and steady development of economic and satisfy of social total demand. In the social development, small and micro enterprises not only provide more employment and entrepreneurial opportunities, and also play a great role in active markets further. There is a data about small and micro enterprises can clearly reflect the importance of small and micro enterprises, which is, small and micro enterprises account for half of all tax revenues, 60 pc of GDP, 70 pc of the invention patent and 80 pc of jobs. Although small and micro enterprises are facing the financing difficult situation, our country attaches great importance to small and micro enterprises by financial support. In 2015, our country implements threshold policy to small and micro enterprises and individual enterprises, and implements tax reduction 100 billion to small enterprises with low profits. The CBRC has also issued a series of policies and measures to actively guide commercial banks to develop financial business of small and micro enterprises, and constantly optimize the environment of small and micro enterprises’ financing. Strengthening the financial services of small and micro enterprises is the important content of finance supports the real economy and is the social responsibility which commercial banks should take on. Although the financial institutions carry out national policy and response to the guidance of the CBRC, small and micro enterprises still have some disadvantages such as management is not standard, the management information is not transparent and capital ratio is too low and so on, which make banks more difficult to identify risk and control risk. So the small and micro enterprises credit business of banks is still facing high risk problem.Everbright bank launched some strong portfolios of products and services in the credit business of small and micro enterprises, such as the borrow of small micro devices, cash management platform of entrepreneur and upgrade version of sunshine finance loan, whichever has its own unique characteristics.. But the credit risk of small and micro enterprises is still a problem needing to solve quickly. If the banks want to have the remarkable achievement in the credit business of small and micro enterprises, they must deal with the credit risk problem of small and micro enterprises effectively.This article takes small and micro enterprises’ credit business as the research object, and has a study to the risk management of Everbright bank Shenyang branch’ small and micro enterprises’ credit business by combining with the relevant theoretical foundation and literature review of small and micro enterprises’ credit risk management. After introducing the research background, significance, method, content and theory, the whole text mainly divides into three parts. Firstly, having an introduction to the present situation of Everbright bank Shenyang branch and its credit risk management of small and micro enterprises, then having a analysis to the existing credit risk problems and reasons. We can get the following results that Everbright bank Shenyang branch has credit risk mainly in three parts by analysis, which include that the credit evaluation system of small and micro enterprises is not sound, the dynamic tracking information is not timely and post-loan management does not reach the designated position. Secondly, this article has a detail research about the improvement measures of small and micro enterprises’ credit business, which include three parts that improving the credit evaluation system and pricing strategy, having a comprehensive dynamic monitor and control to the implementation process of the loan and improving the disposal measures of non-performing loans. Among above three measures, the comprehensive dynamic monitor and control includes improving inspection and improving the risk warning mechanism, and improving the disposal measures of non-performing loans includes actively collecting due loans, revitalizing the non-performing loans and implementing the creditor’s rights and debt principal. Finally, providing the implementation safeguard measures which include organization guarantee, system guarantee and personnel security. Among above three measures, organizational guarantee includes optimizing organization structure and credit process, and optimizing management process and the operating mechanism. Institutional guarantee includes loan survey and censorship, forcedly loan collateral system and credit supervision system. Personnel security includes strengthening personnel training and strengthening the team construction.This article attempts to build a reasonable and sustainable credit model of small and micro enterprise for Everbright bank Shenyang branch, and formulate effective credit risk management measures. This research has certain practical value. At the same time, this article also hopes to provide a reference and guide for the follow-up related research of the same industry.