“The government data is important for the development of medium and small enterprises. The personal credit status can be quickly evaluated according to the personal education, social security payment and housing. For small and micro enterprises, whether the property right, patent, trademark registration and the number of social security payment belong to high-tech enterprise can be the important basis for financial institution to determine whether is credited.” Liu Shiping, CEO of GBICC-Global Business Intelligence Consulting Co.,Ltd., said in “Guangzhou Summit-Tsinghua PBCSF Global Finance Forum 2018”.

Recently, more policies of supporting the small and micro enterprises are implemented which like the “Spring Wind”- from the “Supporting by several banks” thought of supporting small and micro enterprises stated by Yi Gang, president of Central Bank, in the 10th Lujiazui Forum to that State Council Standing Committee meeting confirmed that the important issues in the official work is to alleviate the difficult and expensive problems in financing of the small and micro enterprises; from Central Bank’s directional lowing of standards to support the medium and small enterprises to the Opinions on further deepening financial services for medium and small enterprises issued jointly by five departments.

Under the circumstances of “No science and technology, no finance”, the financiers pay more attention to the financial institutions how to apply the financial technology such as Big Data and intelligent risk control to strengthen the financial support for small and micro enterprises, alleviate the difficult and expensive problems in financing of the small and micro enterprises to reduce the enterprise cost and promote the economic transition and upgrading and the conversion of the old and new dynamic energy.

Recently, in “Guangzhou Summit-Tsinghua PBCSF Global Finance Forum 2018” which held in Guangzhou, the PBC School of Finance at Tsinghua University focused on Big Data and intelligent risk control. And many industries discussed the reform of financial service model by Big Data applications and the positive role of Big Data in intelligent risk control of banking.

Liu Shiping thought that the applications of Big Data in financial industry are mainly embodied in marketing, risk management and internal management. In risk management, it should be noted that either Big Data or intelligent risk control is only a tool or method. Financial institutions would not engage in risk management without the understanding the nature and rules of risk in order to avoid putting the cart before the horse.

“Data, algorithm and circumstance are the three links to do the Big Data and intelligent risk control better.” Guo Xi, CRO of K N Group, thought that the above three links are necessary if the banking institutions want to do the intelligent risk control of medium and small enterprises better in future. The first step is how to get the broader and deeper data; then, deepen the artificial intelligence and machine learning algorithms to identify the users more accurately; finally, build and improve the scene for Big Data and intelligent risk control to fully play the role in all risk scenarios such as fraud detection before the loan, risk prevention and control during loan and debt collection after loan.

“Only apply the suitable advanced algorithm technology to process the mass data deeply, establish the high efficiency and precise model of risk control, use pertinent risk control strategies in different risk control scenarios, will the connection of each link of risk control be realized,” Guo Xi said.

At present, what need to be concerned about is that the “Data Island” exists generally. Li Weidong, vice president of Tongdun Technology, said the concept of Big Data was introduced with financial technology and the rapid development of Internet. In the age of Big Data, data plays an increasingly important role and the applications in credit spectrum are becoming more extensive especially. The applications of intelligent marketing, anti-fraud and risk based pricing are the hottest. However, the “Data Island” still exists in applications of Big Data. And only by building the ecosphere and data loop can the problem of “Data Island” be solved.

It was worth mentioning that “artificial intelligence” was listed in government report for the first time last March; in June of the same year, the development planning of new generation of artificial intelligence in China was finished. In terms of the management and development of the bank, most industries thought that artificial intelligence has the advantages in efficiency improvement, cost reduction and risk control which in according with the exploration of transformation from the bank in Internet Age to digitalization and light-weight. Especially in the service of small and micro enterprises, the prospect of intelligent risk control is worthy of expectation. At the same time, Li Weidong stressed that the safety of data is of great importance and therefore it should ensure the regulatory policy to keep up with the times to secure the legal and sound development of the technology and applications of artificial intelligence. 

The reporter of Financial Times learnt that the traditional banking institutions is accelerating the intellectualized reconstruction of small-micro finance services recent years and “Intelligent risk control” is also an important link of them. For example, when the Industrial and Commercial Bank launched “Smart Guard of ICBC”, Li Yunze, vice president of ICBC, said that the launch of “Intelligent risk control” is not only the sign that the risk prevention and control ability and customer service level of ICBC in retail finance have entered upon a new phase but also a major measure of performing the duty of “Maintenance financial security, develop financial inclusion”.

Recently, reporter learnt from the Bank of Communications that BOCOM had a video conference of financial inclusion promotion which emphasized the importance of strengthening the application of finance and technology to serve the small and micro enterprises. Peng Chun, chairman of BOCOM, said that BOCOM have implemented “New 531” project to provide technology supporting for developing financial inclusion. Integrate the internal and external data sources to improve the application capabilities of data mining; realize the precision marketing by accurate “Picture”; establish the integrated ecosystem of “finance and scene” to realize the effective connection among transportation and government departments, core enterprise, key business circle, credit platform and the third partner service organization; realize the transformation from traditional financing model to industrial chain “Transaction banking” and the closed loop operation of cash flow, information flow and logistics by using data.