Research On The Issues Of Rural Micro-credit

Along with the continuous development of rural economy, the hysteretic nature of rural fanacial reform in our country is increasingly outstanding. Agricultural Bank is gradually fading out rural finacial market stem from the need of strategic adjustment ; with the policy and its own developmental strength, Agricultural development Bank is low-grade of rural finacial market; because the private finance is not standardized itself , banned or engaged in underground business,can not be accepted by legal, so it is difficult to have an good effect on rural economic development. After rural credit cooperative became the monopsonist actually, it operate wakely for a long time due to various reasons such as systems and management ,it is difficult to satisfy the increasing need of rural economic development on credit funds. Moreover, the commercial tendency of business operation is become increasingly prominent, non-agriculture trend of credit funs gets increasingly severe, the badly loss of rural aggravates the supply and demand contradiction of credit funds in rural financial market ,hinders rural economic development, and affects enhancing peasant's living standard. As the innovative products of rural finance,small credit is effective method on strengthening the rural funs investment ,and settling the peasant's finacing problem.To be the financial innovative result ,the development progress of rural small credit , follow the stage rules of financial innovation . That is to say, rural small credit in our country has experienced four stages: they are introducing of non-government oarganization, the imitation of Agricultural Bank and government alleviation department, the extention of rural credit cooperatives,and private commercial small credit company,village banks, along with rural community credit cooperative organization which is promoted by nation policy . The government function orientation , capital source, interest rate, risk mechanism ,credit environment and so on are key factors for limiting the smooth development of rural small credit in our country, and also innovation of rural finance. In the new period, we should consider the development of rural small credit as the opportuity to promote our rural finacial innovation, we should start with releasing regulation on rural fiancial market , transfer government function, improve relate laws and rules and so on, and vigorously develope commercial rural small credit, cultivate diversified and orderly compete rural financial market.