4. Big Bank, Small Finance: The Practice of China Minsheng Bank

As determined by the differences between micro, small and medium-sized enterprises and large enterprises in terms of the normalization of financial management, access to credit records and value of mortgage assets, the risk control of the loans for micro, small and medium-sized enterprises is entirely different from that for large and medium-sized enterprises. If the financial institution originally dedicated to the loans for large enterprises marches forward the small and micro finance sector, it needs to substantially adjust its risk control method, process and structure. As one of the earliest large traditional commercial banks that step in the blue ocean of small and micro finance, China Minsheng Bank (CMBC) has kept exploring the credit risk control and experienced the transformation from the traditional model focusing on experience control and artificial monitoring to the current data analysis model, and is establishing the standard, modular and large-scale risk control management model of “credit factory”. The experience of CMBC is a great reference to large banks running small and micro finance