A Study Of The NM Rural Commercial Bank Credit Risk Management

At present,the status and importance of rural commercial Banks in China's economy are becoming more and more obvious.Rural commercial Banks still need to expand their business channels to help the development of the whole economic.However,the process is affected by many factors together,and the bad assets are formed that has a great impact on the healthy development of financial organizations,which has an unfavorable impact on the position of rural commercial bank.The credit risk management of the bank has become the biggest obstacle.Therefore,how to improve the level the credit risk management and how to guard against the credit risk are important.This is the beginning and the main content of the study.Based on the perspective of information asymmetry theory and game theory,this paper analyzes the current situation of the credit market of NM rural commercial bank.It p oints out that there is a serious information asymmetry in this process,and this inform ation asymmetry is the main reason that causes the credit risk of the bank.Secondly,s tarting from credit risk,combined with the game theory to study the NM rural commer cial bank credit risk form the adverse selection and moral hazard problems,at the sam e time analyzing the asymmetric information phenomenon of the NM rural bank credit markets.Furthermore,the distortion of the credit market caused by information asymm etry and the adverse effect on NM rural commercial bank are further studied.In order to achieve the needs of the research,this paper analyzes the NM rural commercial ban k,and analyzes the NM agri-businesses game relationship between Banks and borrower s to belong to which type,and constructs the signal transmission model of incomplete information dynamic game based on the equilibrium solution of this model,and analyze s the credit risk measures of the NM rural commercial bank,in order to better promot e the development of China's banks.