Study On The Rural Microfinance Development Of The Agricultural Bank Of China Branch In Shanxi

If we want to solve the" three rural" issue, we must solve theproblem of agricultural funds, and microfinance in rural financial institutionsthat fits our situation. Rural Microfinance huge effect, farmers microfinancehigh degree of identity, its great meaning is obvious. It solves a largeproportion of the population lives of farmers, production funding needed tobecome a more important measure effectively resolve the difficulties ingetting loans of farmers and rural economic development funds by the broadmasses of peasants warm welcome. At present, although many of China’s ruralfinancial institutions have launched a micro-credit business, but due to thehigh cost of missing its microfinance credit mechanism, the riskcharacteristics of its own and large farmers getting loans still have not beenfundamentally resolved. Agricultural Bank of China rural financial markets asan important force in the operation and management aspects of ruralmicrofinance, there still exist some problems. In this context, it is necessary todo some rural microfinance operational research to facilitate the continuedgood development of its rural microfinance.The Agricultural Bank of China and rural services is the mission has beenfulfilled, but also a focus of ABC’s business. For the rural microfinancebusiness, because the level of education of farmers is uneven, arbitrarybehavior of the strong, weak risk tolerance, income impact by naturalconditions, it is easy to form bad and doubtful debts, transaction costs arerelatively high many financial institutions to enter the rural financial marketswill reduce, Shanxi Branch of the Agricultural Bank of existing rural microfinance business there are still some deficiencies, which requirescontinuous improvement of evaluation systems and processes loans, and todevelop a comprehensive marketing model to maximize profits, thesignificance of this study is that if we can get stable profits in the context ofcontrolled risk, not only for their own branch of the Agricultural Bank ofShanxi useful, and can attract more financial institutions to put more moneyinto the rural areas, so the current economic situation is not optimistic aboutthe countryside to be reversed.This paper describes the concepts of rural microfinance, basic theory,combined with the current situation of Shanxi Agricultural Bank of Chinabranch in the development of rural microfinance and SWOT analysis, andgrasp the advantages of Shanxi Agricultural Bank of China branch in thedevelopment of rural microfinance business, weaknesses, opportunities,threats, Shanxi branch ofAgricultural Bank of China made further suggestionsdevelopment of rural microfinance. Contents of this paper is divided into thefollowing sections: The first chapter. Introduces the research backgroundresearch purpose, meaning overview, domestic and international research,this paper describes the content, method and innovation. The second chapterthe theory outlined in rural microfinance. Rural microfinance concepts,processes such as the theoretical basis of summing up, lay the theoreticalfoundation for the defender analysis. Shanxi Branch of the Agricultural Bankof Chapter III of the status quo development of rural microfinance. Ruralmicrofinance with the current business profile and macro developmentenvironment, introduced in Shanxi branch of the Agricultural Bank of ruralmicrofinance business processes, development status, and other advantages.Chapter IV ABC Rural Microfinance Development in Shanxi Branch of theproblems. Combined with the reality of the situation, in-depth analysis of thecurrent ABC branch in Shanxi Rural Microfinance Development of gaps anddeficiencies. Agricultural Bank of China branch in Shanxi Chapter countermeasures development of rural microfinance recommendations.Shanxi branch of the Agricultural Bank of microfinance and ideas wereinnovative business development model. Finally, countermeasures andsuggestions that row rural microfinance business model. Chapter VIConclusion and Outlook summarizes the results of this research and proposedinadequacies of this study as well as the future direction of research.In this paper, the innovation points: microfinance has good economicbenefit and social benefit, for poverty alleviation and the sustainabledevelopment of rural economy has a strong support, as well as the ruralfinancial development has brought a newer way of thinking. In the fiercecompetition, ABC Shanxi branch of the rural microfinance business want todevelop, from competitors, reasonable improvement is a must. For ABC inshanxi branch in the process of the development of rural microfinance, someproblems from five aspects, the paper puts forward the correspondingcountermeasures and Suggestions.