Credit risk is one of the most important risks that Chinese commercial banks are facing for the time being, and it will not only affect the operations and development of our commercial banks directly, but also impact Chinese economic development and social stability. After join the World Trade Organization, the commercial banks will encounter more and more competition. Hence, enhance credit risk management and improve credit risk managing ability gradually become the top urgent affairs for each commercial banks.
The article begins with the definition of credit risk and the actual state of Chinese commercial banks in credit risk management, and tries to dig out the problem, and then analyze the factors, which leaded to the credit risk. At the end of the article, some proposals and strategies are given by referring to the successful experiences of overseas commercial banks.
Keywords: Credit Risk, Commercial Bank, Risk Management, Risk Rating.