Green Credit Scoring System and Its Risk Assessemt Model with Support Vector Machine

Green financial products such as green loans have developed quickly worldwide in the last 5 years. Green credit extended so far is already more than 1 trillion Yuan in China, and huge growth is expected with further development of a low carbon economy. As green loan undertakes social responsibility, such as environmental protection and energy saving, and is one of the key factors in policy decisions, the traditional credit scoring system and risk evaluation model can not be used since here only financial and management factors are considered. In this paper, a green credit scoring system is presented which introduces new environment and energy factors. A SVM risk assessment model is created on this basis. Finally, a real-world dataset is applied to test the green credit scoring system and the SVM risk assessment model. The result shows that the new green credit scoring and SVM risk assessment models are effective.