The Research On The Development Of Microcredit Company In China Based On The Inclusive Financial Perspective

Since the reform and opening up, China’s economy has acquired a remarkable achievement. However, what is hidden behind that prosperity is the huge crisis-serious financial imbalances. Due to the inherent flaws of traditional financial system, financial markets are fragmented and capital prices are distorted, which result in the uneven allocation of financial resources and unfair financial rights.In2005, during the promotion of International Year of Micro-credit, the UN advocated to build inclusive financial system through the world. Then GGAP offered a comprehensive explanation for that. Inclusive financial system lays stress on the fairness and justice of financial service, and its connotation is to let all demanded communities get availability to fair financial service. According to this system, all the financial service objects including the poor can be melted into financial system which constitutes of micro, medium and macro levels. Consequently, the financial markets will be opened to the majority of people in poor area of developing countries, which will benefits the low-income customer groups who used to be excluded in enjoyment of financial service, especially for the poor population in countryside.Considering the generated background and development of inclusive financial system, close relation can be found between it and micro-credit that the former is the refinement and sublimation of the latter theoretically. In another words, the inclusive financial system is the inheritance and development of micro-credit. Essentially, the inclusive financial system put attention to the assistance of poor communities, and the core of micro-credit is to offer service to middle and low-income population and small and micro businesses. Therefore, as a powerful tool of poverty alleviation, micro-credit, undoubtedly, should be the emphasis and core during the building of inclusive financial service.Firstly, this article make an introduction of the relevant theory, mainly including the financial deepening theory and inclusive finance theory, which lays deep theoretically foundation for the following writing. The second part is to analyze the case of the successful application of inclusive financial system abroad and acquire the inspiration for China. After that, it start to analyze the development situation of microcredit company in China and concludes the main problems during its developing process from the three perspectives of the frame of inclusive financial system which are showed below. From the micro perspective, the problems includes single credit pattern, lack of financial innovation, limited coverage, problematic internal mechanism. From the medium perspective, the issues compromise of defective credit system, lack of financial ecological environment, vulnerable financial infrastructure and the shock of internet finance. From the macro perspective, it contains the lack of relevant law, over-controlling of finance, defective regulatory mechanism, serious tax burden and limited financing channels.According to the above analysis and the relevant theory, the last part of article puts forward the policy suggestions to promote the benign development of microcredit company. The government policies include increasing the legal support of inclusive finances, alleviating financial regulation, enhancing market vitality, and improving regulatory mechanism. The market policies comprise of establishing scientific credit system and grading system, improving (rural) financial ecological environment and strengthening the construction of financial infrastructure. The corporation policies contain accomplishing the innovation system of products and service, insisting market segmentation, improving internal mechanisms and increasing operating efficiency.There are two innovations of this paper. The first one is analyzing the development of microcredit company from the perspective of building inclusive financial system, then putting forward the pattern of inclusive micro-credit. Besides, it defines the position and task of microcredit company during the process of building inclusive financial system. The second one is proposing applicable suggestions through the perspective of promoting financial reforms based on financial deepen theory, thereby offering a breach for building and improving inclusive financial system.