The Application Of Internal Audit In Bank Credit Risk Management

Under the background of economic globalization,the commercial bank financial products and services in innovation,but the credit business is the core business of commercial banks and the main source of profit status has never been shaken.Effective prevention of credit risk in business process is the focus of risk management of commercial banks.After the framework of comprehensive risk management in 2004,each commercial bank attaches great importance to the role of the framework in the management of credit business and the participation of other departments in risk management.However,in recent years there have been many cases of fraud and irregularities in the credit business of commercial banks.These problems should be found by the internal audit department and put forward improvement measures to prevent the occurrence of the loss.But because of the internal audit work is not in place,resulting in most of the cases of fraud and irregularities were not found in time.Therefore,it is very important to study the internal audit of commercial bank credit business.Based on the elaboration of internal audit theory,risk management theory,the relationship between internal audit and risk management theory,with X Bank as the main object of study,the internal audit of X Bank in credit risk management case analysis.Focusing on the basic situation of X Bank,X Bank internal audit to participate in the status and lack of credit risk management,Which mainly includes internal audit in the risk management did not give full play to its functions;internal audit staff professional level is low,the team construction is lagging behind;internal audit organization mode is not perfect,the audit method is backward;internal audit department communication channel is poor,inefficient these four aspect.According to the above status and lack of corresponding to put forward a few countermeasures.Include to Widen the scope of internal audit and enhance the independence of internal audit;internal audit staff to improve the knowledge and ability,strengthen the function of internal audit,improve the quality of internal audit staff,expand the ranks of outstanding talents;actively promote the internal audit department and other departments of communication,to carry out the four aspects of the audit work.To provide reference for Chinese commercial banks to participate in credit risk management.