Study On Microcredit Regulation In China

Microcredit is one kind of small loan, it is the extension in technology practical application of the latter one. This pattern would not only standardize the private anleihen effectively but also settle the financing of "Agriculture,Countryside and Farmer". This mode developes most successful in Bengal. Grameen Bank, which is set up by Professor Yunus, helping poor grubstaker to get loan and become the shareholders of the loan bank acyually.Bengal passed a speciall law in order to ensure the authority of these poor shareholders. Furthermore, GB in the whole country is supervised by a feasible supervising pattern, such as the "Five Person Team". This mode makes each member are in charge of the responsibility and right to all member's credit. America also has the perfect and doable system to Microcredit. All banks in USA are supervised by more than one regulatory organization. Such a consummate supervising system makes the low percent of bad loans.Let's pay attention to the regulation in our country. With the support of "The Central People's Government of the People's Republic of China" and "China Banking Regulatory Commision", the financial institution and microcredit company make a flourishing of microcredit day by day in the new century. But, the proper regulation hasn't be made so far. The inapposite regulatory pattern confined the development of microcredit in China. So many problems appear, for example, the high percent of bad loan,the stagnancy of microcredit growing and so on.This paper is divided into four parts. The first part makes the beginning with the development and the actuality of microcredit in China. It not only introduces the domestic organizations but also the branch of international ones in China. The latter one recommends the my humble opinion to the problem of the microcredit regulatory system in China. The third one is basically the experiences of foreign country's outstanding regulatory system. The last but not the least one, I put forward my own suggestion about the solution of the current problem of microcredit in our country. I also offer the advise and importance of the legislation of microcredit in China.