System Of Direct Financing Of Smes In China Construction

SMEs flourish up with the economic development and reform and opening up. SMEs have become an important and indispensable component of the national economic system, promoting economic growth, increasing employment, promoting market prosperity, promoting social stability plays an irreplaceable role. However, in the process of the SMEs development, which is also faced with many difficulties. Lack of funding is the big problem all countries in the world faced by SMEs. In the special period of economic restructuring SMEs financing problems are serious in our country.In the current financing of SMEs, the proportion of direct financing is very low. The endogenous financing account for around one-third of the source of financing. The foreign financing mainly concentrated in the indirect financing, such as bank loans. So the scale and channel of direct financing must to be expanded in order to fundamentally solve the problem of financing SMEs.Direct financing can raise long-term capital to SMEs. As a way of financing, it is not only Significant for the financing of enterprises but also very important in the process of savings transforming to invest, which has become an indispensable component of the market economy part. This paper propose to establishing a system of direct financing of SMEs, based on the analysis of the current situation and difficulties in financing SMEs and draw on the Successful experience in developed countries. The measures include the following: improve the Official share financing market on the basis of SME board and GEM board; vigorously develop the risk investment; Standardize and improve the equity of informal financing market; actively expand the bond market mainly the company bonds; encourage financial innovation, expand direct financing channels for SMEs. It also emphasize the constructing of direct financing of SMEs is a systematic Project , depending on related support system .