Research On Credit Risk Identification And Prevention Of PPP Project In ZG Bank

With the acceleration of China's urbanization,government departments to provide public goods to bear the debt are more and more heavy.In order to control the scale of local government's debt and actively play the role of social capital,The State Council put the views forward "the pattern of the promotion of the capital cooperation between government and social” for the first time in 2014,namely PPP(the Public-Private Partnerships)model.From the point of bank credit,PPP as a new cooperative mode,there are few successful projects for reference,and the relationship between project parties is more complex,so credit risk exists in PPP project.This paper bases on the case of ZG bank credit risk PPP project analysis,finding out the main risk of ZG bank may face in PPP project in the credit process,applying the theories and methods of risk management,and then coming up with risk prevention measures which aims to provide a reference for commercial banks to credit related personnel to seize business opportunities and approve the specific PPP project.The core of this paper mainly consists three parts.First,giving an overview of the PPP model and the project risk theory,and pointing out that the PPP is "government and social capital cooperation model",the PPP project is complex,diversity,accidental and earnings uncertainty risk characteristics,according to the understanding of different,can be divided into different types of risk.Secondly,choosing a specific PPP project credit,in which the ZG bank takes part,as a case study.Analysis indicates the main credit risk for compliance risk,government credit risk,performance risk,social capital continued operation of project risk,the bank internal management risk.Finally,coming up with the risk management measures for ZG bank's PPP credit project.Finally,from the prevention of credit compliance risk,give priority to the strong local government and social capital side,to strengthen the credit management of the various stages of management,improve the internal management four aspects mid-December,bank of the PPP project credit risk prevention measures are put forward suggestions.The paper comes to the following conclusions by the case study of a specific PPP project credit of the ZG bank participated: First,the PPP project risk is complex and diverse,and its credit risk also has similar characteristics.Second,banks in the PPP project credit may face a variety of risks,but according to the specificity of the project to distinguish which is the most critical risk.Third,in view of the above risk points,consider from the project subject,project compliance,credit risk,market risk,operational risk and other aspects of targeted risk prevention and control recommendations.