Study On Risk Control Of Huishang Inter-bank Business

In recent years,as the pace of financial reform continues to accelerate,the financial market has become more and more complex,and banks have felt the difficulty of moving forward.Major financial entities can only share a piece of the cake through continuous innovation and upgrading of competitiveness.As an important member of financial market,bank plays an irreplaceable role in financial stability.The financial crisis in 2008 had a different impact on major banks,and inter-bank business has gradually become the focus of banks'development since then.Inter-bank business,corporate business and personal business constitute three mountains of banking business,which shows the importance of inter-bank business is extraordinary.In this context,Huishang Bank,the research subject of this paper,went public.In the following two years,the inter-bank business of Huishang Bank grew at a staggering speed,and the risks behind it were self-evident.Specifically,the total assets of the same industry showed a trend of increasing year by year,especially in 2012 and 2013,with a growth rate of over 20%.The total amount of inter-bank liabilities is also on the rise.However,except for 2016,when there was a "regulatory storm" and many fines were issued,many banks shivered and strictly controlled the development of inter-bank business.From the perspective of interest income and expenditure,Huishang Bank's interest income is declining,while its interest expense is rising and its net interest income is negative.Facing the aggressive development of Huishang Bank at the beginning,we need to reflect on the various risks faced by its inter-bank business.Because the control of risk is very important to the development of business.If the relevant risks are not well controlled,the occurrence of these risks will hinder the development of Huishang Bank.This paper will take industrial bank,known as the "king of the industry",as a comparison to analyze the risk control problems faced by Huishang's inter-bank business.Anhui merchants bank there are a lot of problems in terms of risk control,such as the lack of professional talents,division of credit assets is not accurate,risk transfer,and a lack of scientific management methods and the selection of indicators,diversity,insensitive to cope with market risk,risk concentration is high,the node is responsible for the personal and supervision and management,internal staff communication and feedback in a timely manner,lack of supervision and restriction mechanism of internal control,etc.The existence of these problems will lead to problems in the risk control of Huishang Bank,making Huishang Bank unable to truly and effectively reduce various risks.Through the comprehensive analysis of the existing Huishang Bank risk control,the article puts forward Huishang Bank can from the following five aspects to enhance the risk control,the first talent,the risk of introducing different professionals,because of the different risk causes and countermeasures is different,only the introduction of specific risk control to prevent and solve specific risk more accurate.Second,improve the mechanism,including accountability and assessment mechanism,communication and feedback mechanism,etc.Timely communication can improve the timeliness of information,and effective accountability after the event can reduce the probability of the next risk.Third,in terms of data center,only by establishing a powerful data center,introducing advanced equipment and excellent computer talents can the data be effectively analyzed.Only the perfect hardware and software conditions can ensure the correctness of the calculation results.Fourth,responsibility of each department of internal rating.It is helpful to distinguish the responsibilities of special committees,departments and credit management departments for risk control.Fifth,in terms of process continuity,the continuity of the entire risk control process will make the risk control more smooth.Only by improving the risk control ability can Huishang's inter-bank business go further.