Study On The Internal Control Of Rural Commercial Bank Of A County

The banking industry has long been classified as a high-risk industry because of its huge operating risk.With the gradual promotion of economic development and the marketization of interest rates,the competition in the banking industry is getting worse day by day.However,the credit business is still the main business of the current bank.The credit business risk,as the main risk of the banking industry,can establish a sound credit business internal control system Important to the bank.Rural Commercial Bank to serve the "three rural" is the main force of rural finance in our country.Credit business is the most important business activity of rural commercial banks.Therefore,the internal control of credit business is an important guarantee for rural commercial banks to prevent credit risks.Through literature review of credit risk,we can see that the theoretical research on internal control of commercial bank and its credit business is very rich.All major commercial banks also attach great importance to the construction of internal control system.From the perspective of credit risk sources and control,The credit risk analysis,established a corresponding internal control system.However,due to the imperfect system of rural financial market in our country and the imperfect laws and regulations,there are frequent credit risk cases in rural commercial banks.According to the characteristics of rural commercial banks,we can establish the appropriate internal control system for the credit business of rural commercial banks in our country The research results are still very scarce,and the foundation of internal control of rural commercial banks is generally weak.Based on an in-depth investigation into the internal control of credit business in rural commercial banks,this paper analyzes the status quo and existing problems of internal control of credit business in A county rural commercial banks,and analyzes in detail from internal control five(Control environment,risk assessment,control activities,information and communication,control and supervision),put forward some suggestions on improving the internal control system of A County Rural Commercial Bank.Through the investigation and analysis,it was found that A County Rural Commercial Bank had some problems such as the lack of credit management culture and the backward human resources allocation in the control environment;the risk assessment system was notperfect and the risk analysis method was backward;the control activities Inadequate inspection of the loan and the lack of timely inspection of the loan information,lack of timely internal information communication and other issues;imperfect post-loan management in terms of control and oversight;no Internal audit and other issues.In view of the above problems,the following suggestions are put forward for perfecting the internal control system of Agricultural Bank of A County and reducing credit risk: In the aspect of control environment,we cultivate the internal control culture of Rural Commercial Bank in A County and improve the allocation of human resources;in risk assessment,we optimize the risk assessment system of credit assets;In terms of control activities,the Bank strengthened pre-lending management,improved the credit approval system and established a sound and effective performance appraisal method.In respect of information and communications,the Bank strengthened its regulatory control of credit information and established a multi-channel communication channel.In respect of internal control oversight,Improve internal audit and give full play to the accounting department's monitoring function.