Agricultural Development Bank's Risk Assessment And Control On Credit On The Basis Of Reform Model

The Wall Street storm caused by US subprime crisis has gradually evolved into a worldwide financial crisis.In this process,large financial institutions of the United States have also been severely influenced.It implies that it is necessary for financial institutions from all countries to build a long-term effective mechanism of risk management,which may have positive significances for the rapid development of financial institutions and the enhancement of the competitiveness.At present,bank industry still occupies a leading position in China's financial system.While after analysis of the current development situation and business situation of domestic bank industry,it can be seen that credit business plays a core role in bank industry.Although credit business has positive significance for the improvement of the profitability of bank industry,the credit risks faced is increasingly intensifying.As a result,the credit risk management of bank industry has become an important subject at present.Since its founding in 1994,Agricultural Development Bank of China,under the leadership of the State Council has experienced quick development and has contributed a lot to the promotion of the flow of agricultural products,protection of agricultural development,settlement of market failure and protection of farmers'interests.In the process of operation and management,it has been following the general rules and operation mechanisms of bank industry.Meanwhile,as the only one agricultural policy-based bank,at its inception,the primary task of the Agricultural Development Bank is policy credit.Since 2004,Agricultural Development Bank has been the backbone and pillar of rural financial system.Since then,the business of the Agricultural Development Bank of China has expanded from the scope of cereal cotton and oil to the entire agriculture and rural areas.Proprietary loan business has experienced a quick development in recent years,and at present,China is on the stage of the co-existence of commercial credit business and policy credit business.Since 2015,when the State Council issued the overall reform plan of the National Development Bank,the Agricultural Development Bank of China and the Export-import Bank of China,the Agricultural Development Bank has transferred from single-policy mode to the co-existence of policy-based mode and commercial mode.At the same time,its transfer from unitary system to mixed system implies that for the presence and a long period in the future,the strengthening of credit risk management has become an important subject of the Agricultural Development Bank of China.In this paper,related concepts of risk,credit risk and policy-based bank risk are first introduced from the retrospect of relevant theories of risk management.Then,new credit risks and their causes are analyzed according to the business features of the Agricultural Development Bank of China under reform mode.On this basis,the paper establishes the credit risk assessment index system of the Agricultural Development Bank of China under reform mode and raises countermeasures to the control of credit control.At last,the paper uses this index system to make an assessment of the shantytown renovation loan programs of the Agricultural Development Bank and the risks faced on each stages of credit process and puts forward corresponding measures.All these have provided good basis for problem solving on the basis of the credit risk assessment and control system described in this paper.