Basel II in the Practice of Chinese Banks

Author: Zhou Wei, Yang Bingbing
Publisher:
Publish Date: 2006-07-01
Features: After Hong Kong had just weathered the Asian Financial Crisis, the authors were dispatched by the Bank of China headquarters to Hong Kong to engage in risk management work, in line with the bank's management reform needs, and began preparing to launch a credit risk management reform project. This project was one of the earliest in the Hong Kong industry to implement a project with characteristics of the Basel New Capital Agreement. The project was officially launched in 2001 with the goal of: referring to the spirit of the Basel New Capital Agreement, combining the bank's operating environment and actual conditions, establishing an internal rating system, loss forecasting, risk pricing, portfolio management, and capital management models, and implementing them in a comprehensive risk management system. This was intended to drive reforms in the credit business process, organizational structure, and policy systems, ultimately achieving maximized risk-adjusted shareholder returns. This book compiles and summarizes research articles formed during the implementation of the project. The book is divided into two parts: one is the theoretical part, mainly focused on discussions around the Basel New Capital Agreement; the other is the practical part, mainly consisting of project-specific reports by the authors during the credit risk management reform project. These articles are beneficial for both beginners in risk management and practitioners in the field.