A Prediction Model for Credit Risk Measurement of Small and Micro Enterprises Based On Particle Swarm Optimization random forest algorithm

In the context of rapid economic development, the credit risk assessment of small and micro enterprises has become the focus of attention in the financial field. The random forest algorithm is widely used in credit risk assessment due to its high accuracy and robustness, but it has some problems, such as difficulty in parameter selection and performance degradation in processing unbalanced datasets. In this study, we propose a credit risk prediction model for small and micro enterprises based on Particle Swarm Optimization Random Forest Algorithm (PSO-RF). The particle swarm optimization effectively solves the problem of random forest parameter selection and improves the prediction performance of the model through the balance of global search and local search. Experimental results show that the PSO-RF algorithm shows significant performance advantages in credit risk prediction, performs well in dealing with unbalanced datasets, and has certain advantages in feature selection. This study provides new ideas and methods for the credit risk assessment of small and micro enterprises, and is of great significance for improving the risk management capabilities of financial institutions and supporting the healthy development of small and micro enterprises.