| Abstract [eng] |
TAUCAS, Valmantas (2007) Credit Risk management in Lithuanian comercial Banks. MBA Graduation Paper. Kaunas: Kaunas Faculty of Humanities, Vilnius University. 124 p. SUMMARY KEYWORDS: Risk, Risk assessment, risk management , Credit risk and loan portfolio management have to be adequately addressed in the whole bank management system. Initially from analyzing credit default and creditworthiness of all the potential clients banks have to apply preventive risk management approach. Finally, bad loans are subject to problems loans management and certain measures have to be applied in order to reduce losses or to retain the loans. Based on the analysis of credit risk management procedures in a certain bank and the whole banking system in Lithuania, banks to enhance their credit risk management process and to apply more modern credit risk management measures. Bankruptcy forecasting and loan losses forecasting models could enhance bank performance in certain cases. Bank loan provisioning techniques have to be designed in a way to show fair value of bank loan portfolio. Effective credit risk management can also be obtained such measures and processes as credit derivatives usage and application of securitization process. However, these are measures that require some changes in regulatory system and law base. The object of this diploma paper is the credit risk and forecasting models in the financial institution. The purpose of this task is the analysis of practicing of forecasting models in the banks and the possibilities of optimization of credit risk forecasting in Lithuanian bank sector. There are three parts in this diploma paper. In the first part, analyzing different authors literature, it is pending theoretic credit risk management aspects, analyzing different kinds of existing credit risk, using occasion and possibilities, rateable Basel Capital agreement importance using in the models of credit risk. In the second part it is analyzing the market of Lithuanian Commercial Bank‘s and the real Bank X Credit principles, and the loan measure. Then considering the model‘s of credit risk, using situation in Lithuanian‘s commercial banks, based on bank‘s interview. Also, in this part it is made research feasibility for Lithuanian bank‘s of using the of scoring models, analyzing how these models are acceptable for the companies to find out about their creditworthiness. In the third part calculating with one of the scoring models, it was presented the results of debtors of Bank X . Modeling the perspectives for the further using of scoring models in Lithuanian Banking system, it was proposed a project for Lithuanian banks of scoring models implementation. |
