CQ Bank Yunyang Sub-Branch Agricultural Loan Risk Management Research

In recent years,the growth rate of China’s economic development has slowed down,especially under the influence of the COVID-19,the growth rate of agricultural loans has slowed down,the risk exposure has increased,and the pressure on bank risk management has also increased.For CQ Bank Yunyang Sub-branch,this pressure is reflected in two aspects: first,CQ Bank Yunyang Sub-branch has a large base of agriculture-related loan business,and the difficulty of risk management is correspondingly increased;Second,the default rate of agriculture-related loan business is high and does not show a downward trend,indicating that CQ Bank Yunyang Sub-branch has deficiencies in agriculture-related loan risk management.To further improve and strengthen the risk management of agriculture-related loans has become the top priority of CQ Bank Yunyang Sub-branch.The main contents of this paper are as follows:The first part mainly introduces the research background,purpose,method and significance of this paper,and lists and analyzes the relevant research on agriculture-related loan risk at home and abroad.The second part introduces several important concepts and related theories involved in this paper.The concept includes agriculture-related loans,risk management,and risk types of agriculture-related loans.The main theories adopted are information asymmetry theory,incomplete competition market theory,and risk management theory.The third part summarizes the business overview and specific risk performance of CQ Bank Yunyang Sub-branch’s agriculture-related loan business,and expounds the current work and operation mechanism of CQ Bank Yunyang Sub-branch in agriculture-related loan business risk management.The fourth part is to use the binary LOGISTIC regression model to conduct empirical analysis on the default risk of agriculture-related loans,deduce the important influencing factors that can affect the loan default,and find out the correlation between the influencing factors and the current risk management work,exposing the hidden dangers in the current situation of agriculture-related loan risk management.The fifth part,combined with the results of binary LOGISTIC regression analysis,analyzes the causes of the risk management problems of CQ Bank Yunyang Sub-branch’s agriculture-related loans.The study found that although CQ Bank Yunyang Sub-branch has realized the importance of risk management and gradually implemented it in accordance with the existing management measures,CQ Bank Yunyang Sub-branch has also made certain achievements in risk control,we can still detect that the bank still has certain defects in risk identification and evaluation,or monitoring and control.The effect of risk control needs to be further improved.The main reasons for this phenomenon are the lack of risk management awareness of key personnel,the imperfect organizational structure,the relatively backward risk management methods,and the lack of targeted adjustment of risk management processes.The sixth part is based on the analysis and description of CQ Bank Yunyang Sub-branch’s agriculture-related loan risk management problems and causes,and puts forward targeted countermeasures and suggestions.In order to further improve the risk management of agriculture-related loans,it is necessary to improve the risk identification ability of agriculture-related loans,improve the risk evaluation system of agriculture-related loans,improve the risk monitoring level of agriculture-related loans,and enrich the risk control measures of agriculture-related loans.