Study On Medium And Small Enterprises Credit Guaranty System And Co-operation Relationship Of Credit Guaranty Institution And Associated Bank

With the development of economy and the advancement of society, thegovernment of states pay more and more attentions to the medium and smallenterprises. The medium and small enterprises exert most significant functions onfacilitating technological innovation, increasing employment, expanding export,offering service and so on. Because our country is in a special stage to establish andperfect socialist market economy system, the function of medium and smallenterprises is more important. However, medium and small enterprises are facedwith many restrained factors in the development course such as technology lag,financing difficulties, information obstruction, inferior marketing ability, lackingperson with ability and so on. Among them financing difficulties is mostoutstanding. At present, the main financing way of medium and small enterprises isbank financing. Due to the quality issues of medium and small enterprises, it isdifficult for them to get bank loans. Under this situation, they lost many chances todevelop. In order to advance the development of medium and small enterprises, thegovernment have set up credit guaranty system to upgrade the credit of mediumand small enterprises and to help them get bank loans. There are a lot of questionsabout the credit guaranty system to solve in theories and practices because it is in ainitial stage. Many research institutions and scholars are studying from differentaspects and have obtained positive results to advance effectively the developmentof credit guaranty system. But the aspect of the co-operation of credit guarantyinstitution and associated bank si hardly studied. However, the co-operation ofcredit guaranty institution and associated bank is most important to perfect creditguaranty system. At present, the co-operation of them in our country is not verygood. In view of this, this paper tries to study deeply the co-operation currentsituation of credit guaranty institution and associated bank and analyzes reasons onthe basis of previous researches. It also studies the co-operation current situationsof credit guaranty institution and associated bank of Japanese credit guarantysystem and American credit guaranty system. On the basis of use for reference, this 2Abstractpaper puts forward the co-operation relationship which is compatible to thesituation of our country. Through establishing game theory model, the paper studiesthe conditions on which credit guaranty institution and associated bank are ready tocollaborate. This facilitates credit guaranty institution to advance ability and bringsforward the government liability and duty. On the basis of those, mathematicalmodels which figures out the fund scale of credit guaranty and the proportion ofresponsibility of guaranty is to be established applying to non-linear programmingtheory and the conditions of co-operation which can realize the co-operationobjects of credit guaranty institution and associated bank are studied. So it canadvance the effective co-operation of this two organizations, thereby to develop theenlargement and lever functions of credit guaranty institution, to solve thefinancing question of medium and small enterprises and to advance thedevelopment of medium and small enterprises.