Credit Risk Management Of Rural Credit Cooperatives Of Small Farmers

With the rapid development of the world economy, as the core of the economy, the speed of financial innovation is obvious. Endless stream of financial products facilitated and enriched our lives greatly. Since the1970s, the micro finance played an important role in the development of the many countries’economy, and have brought a great change as an institutional innovation, especially on the problem of poverty has been greatly improved. It has been20years since introduced as a way of poverty alleviation, and the momentum cannot be underestimated.After the state-owned banks evacuated the town markets, rural credit cooperatives as a effective part of financial system, the dominant position in the rural market money supply became more and more strong. However, as the main subject on the rural, the farmers’effective demand of money has not been met, and the problem of farmers loans has been plagued China’s rural economy development. In2000,on the support of "re-lending of agriculture" by the central bank, rural credit cooperatives and other mutual assistance and cooperation agencies began issuing farmers guaranteed loans, this initiative, in large part to meet the credit needs of farmers. Over the past ten years, the development of micro-credit operations of farmers has been greatly improved, but it also exposed many problems worrying. Microfinance as the main part of credit business and profit model, the risks are more and more attention. Therefore, the study of credit risk management for farmers microfinance is essential.In this paper,using Zhuozi County Rural Credit Cooperative Microfinance Risk Management as an example, with the combination of theory and practice, in-depth analysis of the current situation of several non-performing loans, investigate its causes, and ultimately improve the appropriate risk management measures. Full Text total is divided into five parts. The first part is an introduction, describes the current status of research on microfinance in the domestic and abroad, and introduce the line of this paper:The second part is the basic theory of credit risk management, and further clearance related concepts; the third part introduces the basic theory of microfinance and basic situation of currently running in our country; Part IV combined with the instance, analyze the phenomenon that aim at non-performing loans in Zhuozi, in-depth exploration inadequate risk management and control aspects based on the fourth part; the fifth part give further strengthen risk control measures from several angles, and proposed countermeasures to ensure the smooth implementation of the upper layer of protection which is given from a strategic level. This paper is intended to improve the efficiency of County Rural Credit Cooperative Microfinance risk management in Zhuozi, thus improve the quality of assets. Hope to make contribution to the credit risk management of Zhuozi County Rural Credit Cooperatives in practical significance.