Research On The Optimization Of Credit Risk Management Of G Bank S Branch

Credit risk has always been the most important risk not only in the banking industry but also in the entire financial industry,besides,credit risk is also the vital object what the financial institutions and regulatory departments need to prevent and control.The credit risk caused by banking credit business and the control of the risk has always been the most important and thorny problem commercial banks face to.With the continuous development of international financial market,especially the outbreak of the U.S.sub-prime crisis in 2008,the credit quality of state-owned commercial bank in China become worsening,for the excessive proportion of non-performing loans.The insufficient exposure of credit risk caused by the state-owned commercial bank,and the increasing risk the banks face to lead to the declining of the capital adequacy ratio and the reducing anti-risk ability.After China's entry into the WTO,and with the deepening of reform and openness,the domestic commercial banks will suffer more international and domestic factors.The credit risk of commercial bank in China has caused the increasing operating risk of commercial banks,which create a bad effect on the stable development of China's finance and economics.Besides,the deficiencies in the credit risk management system result in the phenomenon of financial repression in China for a long time.In order to remain invincible in the increasingly fierce competition in the economy,to strengthen the all-inclusive obstruction of credit risk has become a vital part.Therefore,the research on the optimization of credit risk management of commercial banks in China has both theoretical and practical significance.Under such severe circumstances,whether it can handle credit risks well is related to the long-term development of commercial banks.Based on the domestic and foreign advanced credit risk management theory and methods,this essay will focus on the research of credit management mode of commercial banks,especially of state-owned commercial banks.This essay use G bank S branch as an example,itsystematically study the current situation of bank credit management,including the status of loan delivery mechanism,the application of RAROC model and the internal control of credit management.With the analysis of the problem in the existing credit risk management,using the modern portfolio theory,RAROC model and ERM framework,this article aiming at the credit risk management of G bank S branch,systematically puts forward the measures of the optimization of G bank credit risk management and the security measures for the implementation of the optimization scheme.This is of great significance for G banks and even commercial banks to effectively control the credit risks and comprehensively improve the quality and efficiency of their credit risk management.