Study On The Improvement Of Credit Risk Management For Changde Branch Of ICBC

In recent years, credit risk, which is as a risk of commercial banks in the development of most concern, can not be ignored. Credit risk which is caused by a series of crises is the main cause of economic losses of China's commercial banks. The reason for what produces such risk is that China's currrent commercial banks are not comprehensive and specific. Therefore,how to strengthen credit risk management has become the main content of the financial sector in China.In this paper, we select a more representative Changde City Branch of ICBC as a practice object of study. And this paper is focused on its credit risk management system improvement and innovation. First, through the analysis of their development and credit risk management in credit operations,we point out which problems credit risk management of the bank has now,such as credit risk organizational structure defects, a lower overall quality of credit, credit risk management foundation is weak, the credit approval process complicated, there are errors in loan quality classification, behind quantitative risk management and credit management information system function is weak,and so on. Then, we analyze internal and external factors which cause these problems in-depth, in order to determine the principles and objectives of the credit risk management system construction for Changde City Branch of ICBC.Then, we propose a credit risk management system which needs to carry out from there aspects, that is identification, assessment, control of credit risk.Finally, this paper shows how to implement improvements in the implementation process and how to effectively guarantee the smooth implementation of the program to reach improvement goals.This article will help Changde City Branch of ICBC solve their credit problems, which is related to multiple existing business. Therefore, the bank can make it safer and more secure to carry out credit operations. What's more, this can make credit operations more standardized and institutionalized.We hope that the results of this paper can provide some guidance of the construction work of credit risk management for Changde City Branch of ICBC and other financial institutions.