Research On Evaluation Of Internal Control Of A City Commercial Bank

As the main body of the financial industry,commercial banks play a crucial role in promoting the stable development of the national economy.In recent years,with the implementation of policies such as expanding financial openness,the banking industry has entered a period of rapid development.However,due to changes in the external environment,the macroeconomic situation is complex and volatile,and regulatory agencies have strengthened the regulatory trend towards the banking industry.Various risk issues of commercial banks are gradually becoming familiar to the public,triggering strong market attention to commercial bank risk management and control.As the basis for the normal operation of various businesses of commercial banks,the internal control system plays an important role in risk management and improving business behavior of commercial banks.Therefore,establishing a sound internal control evaluation system helps commercial banks discover internal control defects in a timely manner and take effective measures to prevent risks.Firstly,this article systematically reviews the relevant research on internal control evaluation of commercial banks at home and abroad,and understands the current research status of internal control of commercial banks.On this basis,it defines relevant concepts such as urban commercial banks,internal control,and internal control evaluation,and further elaborates COSO internal control theory,system theory,and financial risk theory,providing a theoretical basis for this article to carry out relevant research;Secondly,this article takes City A Commercial Bank as a research case to systematically analyze the current internal control situation of City A Commercial Bank,and according to relevant policies and regulations in China,constructs internal control evaluation indicators suitable for City A Commercial Bank from the perspectives of process evaluation and result evaluation,and applies them to City A Commercial Bank to evaluate its internal control;Finally,based on the evaluation results,a systematic analysis was conducted to identify weaknesses in the internal control of City A commercial banks,and suggestions were made to improve their internal control.The research results show that the internal control design and operation status of City A commercial bank are generally effective,but there are still shortcomings in human resources construction,risk assessment target setting,credit business control,response and rectification mechanisms.In view of the shortcomings of City A commercial bank’s internal control,this article focuses on strengthening performance management,improving the forward-looking nature of risk management,strengthening dynamic monitoring of credit business Improving information communication channels and paying attention to the use of supervision and inspection results can help City A commercial banks strengthen their internal control construction to a certain extent,and it is also hoped to provide reference for the internal control evaluation of other small and medium-sized city commercial banks.