Content preview:
Bank credit management and risk prevention
For the understanding of commercial banks and risks, it is now popular to say that commercial banks operate risks, which cannot disappear and can only be managed. There are many kinds of risks faced by banks. According to the Basel Accord, they are mainly credit risk, market risk and operational risk. Of course, there are liquidity risk, legal risk and reputation risk. If described in detail, there will be many risk sources. However, judging from the main business of commercial banks in China, the main risk faced by banks is still the credit risk of enterprises.
Credit risk can be defined as the potential loss of a credit provider when the trusted party refuses or fails to pay the owed debt in full and on time. As a form of counterparty default risk, credit risk is always given more consideration by creditors, but the enterprise credit risk, which constitutes the main risk of commercial banks, itself comes from business risk (credit risk, market risk, reputation risk, legal risk, etc.). ), management risks (strategic mistakes, business failures, asset losses, business risks, etc. ), financial risks (liquidity risk, financial crisis, etc. ) and the moral hazard faced by enterprises in the process of production and operation.
Therefore, the credit of commercial banks is prosperous. ...
exceed