Research On Microcredit In Chinese Rural Areas

This essay has its focus of analysis on China's rural microcredit in three areas: (1) the classic economics theories, modern operating models and experiences worldwide. (2) the evolution and current status of small amount credit in China's rural areas. (3) the author's viewpoints on China's rural financial reform as well as recent practices on microcredit.First, the essay discusses the basics of microcredit in rural areas, including its development and internationally accepted definition, which is redefined herein. Subsequently, the essay studies small amount credit by combining Mr. Yunus' practices of rural banks in Bangladesh, opinions from China's academics and economic theories of information asymmetry, financing structure, financial repression and financial reform deepening.Secondly, the essay reviews the development of China's rural microcredit, rural financial reform and the New Rural Areas Project in addition to issues in rural financial services and other external and historic but related elements. It reveals major problems and concerns in the Project by analyzing the supply and demand of China's rural microcredit market.Furthermore, the essay puts forward its opinions on how to promote China's rural area microcredit, including the three principles of "supporting rural economic development, ensuring rural financial security and fostering the growth of rural area small amount credit", the implementation conception and eight specific measures.Finally, the author concludes the essay by her thinking on the promotion of rural area microcredit based on China's current conditions in rural area microcredit and the blueprint of the restructuring of the Agricultural Bank of China.