Research On Credit Risk Management Of Zhengzhou Bank

With the development of financial globalization,the role of the financial industry in the national economy has become increasingly prominent.As an important financial institution in China,in recent years,credit risks have become more pronounced,making the stable operation of commercial banks face severe challenges.Given that the banking industry is an important economic hub between various industries and even between countries,the credit risk of commercial banks will have a huge impact on other industries and even the entire economic system,thereby increasing economic instability.For example,the United States in 2008,The financial crisis caused by the "subprime mortgage crisis" spreading to the world has given us the most intuitive understanding of the harm of commercial banks' credit risks.Therefore,effective prevention and control of credit risks is not only for our commercial enterprises.The stable operation of the bank is of great significance,and it is also a strong guarantee for the continued sound development of China's economic environment.Because of this,it is important to conduct research on the credit risk of China's commercial banks to continuously improve and strengthen credit risk management.Zhengzhou Bank is the first domestic “A + H” listed city commercial bank in China.At present,all operating indicators meet regulatory requirements.By comparing and analyzing traditional and modern credit risk measurement models,this article selects the KMV model for the credit risk of Zhengzhou Bank.Carry out measurement research and revise the KMV model to make it more in line with China's national conditions.It is concluded that the default risk of Zhengzhou Bank was the lowest in 2015 and reached its peak in 2018.At present,it has declined slightly,but the risk cannot be underestimated.Based on the empirical analysis of the KMV model,this paper uses the default distance as the explanatory variable to construct a model of the credit default influencing factors of Zhengzhou Bank,and draws two significant indicators that affect the credit default risk of Zhengzhou Bank: deposit-loan ratio,non-performing loan ratio Among them,the deposit-loan ratio and the non-performing loan ratio both have a positive effect on the credit default risk of Zhengzhou Bank.In addition,through a comparative analysis of four city commercial banks in the same industry,it is concluded that the current return on net assets of Zhengzhou Bank is low and the leverage ratio is high.Zhengzhou Bank can appropriately increase the return on net assets and reduce the leverage ratio to make Zhengzhou Bank more stable.Operation.Aiming at the current status of Zhengzhou Bank,this article discusses the four aspects of achieving stable operation,improving internal governance,improving the risk prevention and control-oriented corporate culture,and increasing the cultivation of credit risk management talents.The concrete implementation of measures such as profitability,reducing the ratio of deposits and loans,increasing capital adequacy ratios,reducing non-performing loans,improving internal controls,improving risk structures,and improving incentive systems will help Zhengzhou Bank prevent and control credit risks.The research and improvement of credit risk management of Zhengzhou Bank provides some practical guidance and suggestions.At the same time,through the research on the credit risk management of Zhengzhou Bank,it has certain reference significance for the credit risk problems currently existing in the industry,and provides a feasible research idea for the healthy and sustainable development of China's commercial banks.