A Study On The Credit Guarantee System Of Small And Edium-sized Enterprises In China

The small and medium-sized enterprises (SMEs) which in China face a large number of opportunities and challenges after Reform and Opening, however, financing constraint still stay here. It is not just the difficulty in China. At the same time, it also is a worldwide difficulty. Learning from the experience of the developed countries, we can find that the effective solution for financing constraint is building the system of SMEs’credit guarantee. However, the economic development of China starts late, so we cannot give enough attention and support to build the system of SMEs’credit guarantee.In this paper, I do the comprehensive analysis for the principles of economics which relate to the SMEs’credit guarantee, and study systematically about the theory of credit rationing, risk shifting and dispersion and information asymmetry. I also do some research on the system of SMEs’credit guarantee of Japan, South Korea, the United States and Germany, and get some experience from them. I learn lessons from the defect of the system of SMEs’credit guarantee in China, and redesign the system successfully which is according with China’s national conditions. Based on the studying of the operation mechanism, I create the concept of asset securitization for the loan of SMEs’credit guarantee.The paper is divided into six chapters. Part1is the part of introduction. In this part, it introduces the background and significance of the topic, and explores the current research status at home and abroad, and introduces the research content and method. Part2do a deep research on the theory which relate to the small and medium-sized enterprises credit guarantee, and introduces the credit rationing theory, transaction cost theory, credit guarantee risk transfer and disperse theory and credit guarantee information asymmetry theory. Part3analyzes the development history, present situation, characteristics and the main existing problems for the system of small and medium-sized enterprise credit guarantee in our country. Part4studies systematically the small and medium-sized enterprises credit guarantee in Japan, South Korea, the United States and Germany. It further analyzes the advantages and disadvantages of each country guarantee system, and put forward for our reference on this base. Part5introduces the purpose and function of small and medium-sized enterprises credit guarantee system, and establish the theory framework and operation mechanism. Part6put forward the concept of securitization for credit guarantee loan, and build the pricing model which uses the methods of option-adjusted spread. Part7put forward the relevant policy recommendations which are useful to establish the system of small and medium-sized enterprises credit guarantee.In short, through the research and study, the author thinks that the problem of financing constraint in small and medium-sized enterprise can be solved by the way of credit guarantee, and the credit risk which contain in credit guarantee can be dispersed by the way of asset securitization. Drawing lessons from the advanced experience of foreign guarantee system construction, and combining with the actual situation in China, we need to actively construct the credit guarantee system of the small and medium-sized enterprises in China to break through the shackles of SMEs financing constraint.