Credit Risk Evaluation and Management of Commercial Banks for Small and Medium Sized Enterprises

DOI

10.2991/icesem-18.2018.241How to use a DOI?

Keywords

Commercial bank; Credit risk; SME; China

Abstract

The credit risk management of commercial banks, as the most important outside financing channel, has significant impacts on the future development of small and medium sized enterprises (SMEs). Although there are many academic studies about the credit risk management from qualitative analysis to quantitative analysis, few specific studies are directed at the characteristics of SMEs, which makes this problem a threat to the asset quality of commercial banks. This paper reviews the evolution and current situation of credit risk management and credit strategy of commercial banks in China. Moreover, the empirical method, which is more suitable for China to measure the credit default probability of SMEs, is adopted to improve the value of the Z-value and the critical value is also estimated in this paper. Finally, in accordance with the credit risk evaluation and management, this paper provides some suggestions for the improvement of China’s credit risk management for SMEs and innovates the risk measurement mode.

Copyright

© 2018, the Authors. Published by Atlantis Press.

Open Access

This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).

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TY  - CONF
AU  - Yuanhong Zhao
AU  - Xiaosong Zheng
PY  - 2018/08
DA  - 2018/08
TI  - Credit Risk Evaluation and Management of Commercial Banks for Small and Medium Sized Enterprises
BT  - Proceedings of the 2018 2nd International Conference on Education Science and Economic Management (ICESEM 2018)
PB  - Atlantis Press
SP  - 1028
EP  - 1033
SN  - 2352-5398
UR  - https://doi.org/10.2991/icesem-18.2018.241
DO  - 10.2991/icesem-18.2018.241
ID  - Zhao2018/08
ER  -