Songjiang City,Postal Savings Bank Microfinance Business Development Strategy

Microfinance in China began in the mid-1990s, more than ten years time, thisbusiness is still slow. In December2005, the China Banking Regulatory Commissionapproved the postal savings institutions in the province of Fujian, Hubei, ShanxiSmall pilot certificates of deposit secured loans business start-up of this business andpave the way for the Post Bank to run a small loan business. Songjiang City PostOffice was opened in June2007Small certificates of deposit secured loans business,responsible for business management background work by the savings and remittancebusiness. Songjiang City, Postal Savings Bank was established in March2008, thisbusiness has been followed into the credit business unit responsible for, and as a basisof the Postal Savings Bank lending continues to this day. Postal Savings Bank wasformally established as an upcoming corporate restructuring to become a professionalbank, the bank’s iconic business-lending has officially been introduced.This article based on the main problems in the microfinance businessdevelopment of Songjiang City, Postal Savings Bank, to analyze the status ofbusiness development, discovery the Songjiang Postal Savings microfinance businessthe main face of the problem is: risk prevention capacity, quality of personnel uneven,the system updates the lag and employees incentives. The advantage of the businessfuture development, the SWOT analysis, weaknesses, market opportunities andthreats to the environment aspects to analyze, draw conclusions: Currently, the theSongjiang Postal Savings Bank’s microfinance business development space is stilllarge. Songjiang postal savings to face the diversification of the local microcreditmarket demand, risk protection mechanisms, asset preservation department is notperfect, personnel and business management is not standardized and other problems, but make good use of their own extensive network, asset quality lending liquidityseveral advantages, continue to strengthen product innovation, improve riskprevention and business management capabilities, able to seize the policy opportunityto enhance their competitiveness, and build good credit, microcredit operations of theSongjiang Postal Savings Bank in the future can achieve business compliance, robust,rapid development objectives.This article the main recommendations: First, from the small loan business of thethe Songjiang Postal Savings Bank the actual situation of the local development, theface of the diversification of customer needs and differences, proposed to strengthenproduct innovation and product elements to enhance the product competitiveness andexpand market coverage; Second, Songjiang postal savings offered small loansbusiness nearly four years, employees access to business management, there are still alot of non-standard, unscientific approach is proposed to strengthen staff training andselection, development of scientific and effective incentive mechanism to improve thequality of service and business management capabilities; Third, starting from a riskpoint of view, on Songjiang Postal Savings microfinance business risk preventionability to analyze, propose to strengthen the loan before the risk assessment workstrict implementation of the loan inspection work to strengthen the responsibility andrisk awareness of the risk line staff in order to protect the business compliance andstable development; Fourth, in view of the the Songjiang Postal Savings Bank inservices has been determined to create their own characteristic brand in the marketdevelopment on the proposed use their own good reputation, and further to set a goodsense of service, send the loan home, better rural services; actively strengthencooperation with the outside world, the use of external media, the better the publicitybusiness, expansion of product coverage and enhance the depth of microfinanceservices in the Songjiang Postal Savings Bank.