Finance is the core of mordern economy, and the commercial banking system is thus the core of financial system. Dealing with currencies, the commercial banks are endowed with great credit risk. From the very beginning ,the commercial banks in different countries all seek for rish-avoiding -means to control the credit risk to the maxium. The major risk Chinese commercial banks are facing is the credit risk which can be seen from the large volume of bad assets, the lackage of mechanism to guard against bad loans. This is the obstacle to good banking and to commercialization of banks.The reason f...
