Research On Microfinance Of Rural Credit Cooperatives In China

China is a large agricultural country, the "three rural" issue is a worry to China's sustained, healthy and rapid development of the main bottlenecks, including poor farmers is one of the core issues in "three rural". In fact, the farmer is one of the root causes of poverty and effective financial needs are not meet. However, the emergence of microfinance compared to rural financial constraints, farmers "getting loans," provides a new way of thinking. Although the Government is actively promoting the development of microfinance, rural credit cooperatives and other credit institutions are actively developing micro-credit business, but our farmers still exist areas of rural credit "loans difficult", the rural credit cooperatives "hard loans" dilemma. Funding needs of rural households can not be meet effectively in rural areas at a distinct shortage of state funds, which has bee the biggest bottleneck restricted the economic development in rural China Therefore, how the government's initiative to develop positive and effective micro-credit has become a real issue.This article first discusses the basic theory of Xiao E, based on the credit of the Rural Microfinance Development Credit problems and the reasons for in-depth analysis, and in reference to foreign Xiao E credit on the basis of operational experience, putting forward to promote our the development of rural credit cooperatives microfinance suggestions. This study concluded that: (1) the government's vigorous promotion of rural credit cooperatives correct the direction of the business and overcome many difficulties, progress has been made of its micro-credit development, rural credit cooperatives in the service "two farmers" playing an active and important role.(2) micro-credit in rural credit cooperatives, farmers can not meet the effective demand; some of the rural credit cooperatives a "capital surplus", there is a certain degree of "hard loans" problem.(3) micro-credit income and risk asymmetry, the government micro-credit to rural credit cooperatives lack of adequate policy support, rural credit cooperatives, microfinance operating their own problems in the rural credit cooperatives in China is the main reason which can not led to the rapid development of micro-credit .(4) policy recommendations: First, the Government proposed to provide support for micro-credit to be able to mobilize the enthusiasm of the rural credit cooperatives; Second, we must optimize the financial environment in rural areas, including optimization market and credit environment, only in good financial environment , rural credit cooperatives to sustainable development of microfinance; Finally, the paper argues that rural credit cooperatives need to strengthen the construction itself, from the internal to finding solutions to problems.