JS Bank Shaanxi Branch Branch Small And Micro Enterprise Credit Risk Management Research

Small and Micro businesses has become a realistic choice of Shaanxi branch of JS Bank for its sustained, stable and rapid development. Shaanxi branch of JS Bank has rose small and micro enterprise credit business to a strategic need. However the ever-changing market environment and the condition of small and micro enterprises limited the credit operations for small and micro businesses, commercial bank may face a number of new potential risks. In this study, the author analyzed problems and causes of small and micro business loan risk of Shaanxi branch through the literature study and interviews, then suggested Shaanxi branch adopt optimization measures of micro-credit risk management.This research found that the small and the customer number's growth of micro-enterprise of JS Bank Shaanxi branch has began gradually slowed, but loan amount is in expanded. That directly led to significantly rose of bad loan rate, which reflected that risk management was not in place.JS Bank Shaanxi branch's small and micro-enterprise credit business risk management exists following of problem:the insufficient survey of small micro-enterprise customer, which included loan credit evaluation system?the ignorance on survey of non-financial information and the ignorance on potential analysis of small and micro-enterprise; repayment source is very limited and the ignorance on information track.JS Bank Shaanxi branch can adopt the following ways to improve the capacity of its small business credit risk management. To improve the level of risk management through the establishment of small and micro enterprise credit rating mechanism, the client selection process and the secured channel management; To prevent risks through post-lending management, product innovation, and reasonable pricing; To increase the level of risk management by the establishment of early warning mechanism. JS Bank Shaanxi branch's optimization measures on small and micro enterprise credit risk management need some safeguards, such as establishing a risk culture to improve risk awareness;developing the organization to provide organization and the establishment of small and micro enterprise information repositories.