Credit risk and ways to minimize it

Credit activity of the Bank is one of the fundamental criteria that distinguishes it from non-Bank institutions. At the same time, non - repayment of loans, especially large ones, can lead the Bank to bankruptcy, and because of its position in the economy, to a number of bankruptcies of related enterprises, banks and individuals.therefore, credit risks are the main problem of the Bank, and their management is a necessary part of the strategy and tactics of survival and development of any commercial Bank.