Connection Analysis Of Inner Mongolia Chifeng Rural Banks And Informal Financial Institution

Rural Bank, as part of the formal financial institutions, its original intention is providing micro-credit support for "three rural" and minor enterprises.However, during the development process, rural banks. according to agricultural production characteristics, in order to obtain interests.gradually adjusting its service object, turn to serve for medium-sized enterprises. This is contrary to its aim serving for "three rural" and small and medium Enterprises. In addition, currently.in rural areas in the Chifeng city, though, the informal finance has a rapid development in almost every corner across the countryside, nearly become the main channel for financing, can not meet the needs of large loans of farmers because of limited capital and management.Financial connect theory holds that in financial markets in rural villages,bank financial institutions such as formal and informal financial institutions coexist. If they can connect with each other and use each other complementary advantages, they can provide more adequate credit capital for local rural financial market and achieve tripartite win-win.Through theoretical analysis model qualitatively, the article expects to analyze prospective earnings under the background of the rural banks, non-formal financial institutions and financial markets, and argument the necessity of connecting rural banks and non-formal financing institution, we use SWOT analysis to point out the strengths, weaknesses, opportunities and challenges of the connecting of rural banks and non-formal financial institutions, besides,we give advice about internal and external threats and challenges. According to local conditions Chifeng.the article gives four financial connection mode. Finally, some suggestions are given on how to promote rural banks and non-formal financial institutions connections.