Research On The Loan Risk Dispersion Method Of The Agricultural Development Bank For Grain And Oil Processing Enterprises

Agricultural modernization is an important content of the No.1 document from the national central government for many years. The No.1 document has put forward the innovations of rural financial system, and strengthens the financial institutions’ responsibilities of servicing for agriculture, rural area and farmers. The Chinese government encourages the agricultural development bank to issue agricultural and rural medium and long term loans, and supports to establish differential supervision system. The development of grain and oil processing enterprises will optimize grain and oil industry chain, promote food industry to upgrade, and ensure the safety of national grain and oils. During the 12th Five-Year-Plan period, grain and oil processing enterprises expanded rapidly, but they are faced with weak international competition level and financing dilemma. In 2015, China agricultural development bank made loans of 1.7 trillion Yuan, support of grain and oil processing enterprises to purchase grain, operations and technology upgrading. With the constant expansion of credit business, the agricultural development bank of China enriches credit products constantly and makes loans to diverse subjects. Grain and oil processing enterprise management pattern and the external competitive environment has taken place greatly. The agricultural development bank is faced with new situation and challenge when it makes loans to grain and oil processing enterprises.As a precondition of guaranteeing policy functions to play a role for a long time, meeting financing needs for grain and oil processing enterprises, and promoting agricultural modernization, the article analyzes the environment of production and operation which is the grain and oil processing enterprises faced with, and suggests that the agricultural development bank should establish a variety of loan risk dispersion method. This paper mainly divided into four parts:The first part analyzes the present situation of loan risk which are confronting the agricultural development bank, The second analyzes the Agricultural Development Bank loans for grain and oil processing enterprises management level, and analyzes its advantages and disadvantages; The third introduces the experience of loan risk dispersion method from Kfw and China Development Bank; The fourth elaborates the strategies——dispersing loan risk form grain and oil processing enterprises...