Study on the Application of Internal Control in the Management of Urban Commercial Banks
DOI:
https://doi.org/10.53469/ijomsr.2024.07(03).01Keywords:
Urban Commercial Banks, Non‐performing Loan Ratio, Internal ControlAbstract
In February 2021, Baoshang Bank, whose total asset size had exceeded 500 billion, exited the stage of history with more than 200 billion in unpayable debts. Now look back on its life, from the clouds fell to the bottom. However, there are traces of its causes. Weak supervision of funds, the organizational structure of the organization is a sham, excessive concentration of equity internal governance failure eventually became the key to its demise. Therefore, this paper will take the current situation of rising non‐ performing loan rate of urban commercial banks as the entry point to discuss the importance of internal governance and make suggestions for the establishment of a sound internal control system in urban commercial banks.
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