We can distinguish the following tasks

1. Ensure provision of quality credits. Quality loans (stable, stable credits) - these are loans that provide adequate interest income even in the case of adverse changes in the macroscopic conditions or changes in business conditions. 2. Ensuring the profitability of its loan portfolio. The cost of credit must meet the budgeted (calculated) risk. Bank's credit policy should be aimed at creating a stable profitable for the bank's relationships with customers. Yield of client relationships to maximize sales by cross in order to maximize the ratio of risk and return for each client. You should avoid such a loan, in which no other relationship other than credit, between the customer and the bank does not exist and is not expected. 3. Provision of reasonable growth of credit portfolio. The purpose of the bank is a long-term stable growth of profitability. This growth can not be achieved in the first place, without the formation of the respective loan portfolio quality, and secondly, without achieving an optimal balance between return and risk. Each bank determines its own credit policies, taking into account the economic, political and social situation in the region of its operation, or taking into account the totality of external and internal risks that affect the particular bank. Category: Management Operations Commercial Bank