Research On The Influence Of Shadow Banking On The Financing Of SMEs

According to<Report on the development of Chinese Enterprises(2017)>,SMEs,who provide more than 90%of new jobs and create more than 60%of GDP in China.They are playing an increasingly important role in promoting employment and stabilizing the social and economic order.However,most commercial banks are reluctant to lend to SMEs,because the financial management of SMEs is not perfect and their ability to resist risks is poor.It is also unrealistic for them to rely on internal capital accumulation,because their capital is weak and they have little retained profits.Although our government has given a great support to the policy,and encouraged the commercial bank to give loan to the SMEs,but its effect is not obvious.In this context,the shadow banking system emerged from the traditional financial system.It is under low degree of supervision,so it is in a high degree of freedom to engage in the credit intermediary.It can also provides capital for SMEs that lack of credit,reduce the threshold of enterprise financing and provide more choice to SMEs,financing.However,the different models of shadow banking make a different financing mechanism for SMEs.Therefore,it is of great significance to study the influence of different models on the SMEs' financing.In order to have a preliminary understanding of the research object,we firstly summarize the domestic and foreign research literature on shadow banking and SMEs,financing.On the basis of the actual situation of China's capital market,we define the concept of the shadow banking,estimate scale of the main mode and have a depth understanding of the financing situation of SMEs in China.Then,this paper focuses on the analysis of the impact mechanism of shadow bank financing of SMEs.We discuss the financing difficulties of SMEs from three aspects:the information asymmetry theory,credit rationing theory and the game between bank and enterprises,analyses the influence mechanism of different shadow banking of SMEs' financing and puts forward the research hypothesis.In order to verify the research hypothesis,the paper selects the data of financial data of SMEs.The number of the company is 646.The empirical results show that SMEs are facing financing constraints,but the bank balance sheet business class shadow banking products did not significantly alleviate the financing constraints of SMEs and the unobserved credit shadow banking do.In order to test the accuracy of the empirical analysis,this paper verifies the robustness of the empirical results from two aspects:the estimation method and the investment equation.In the end,the paper puts forward the specific policy implications for the empirical process and results,and points out that the model still needs to be strengthened to provide some guidance for further research in the future.The conclusion of the study shows that the effect of different shadow banking modes of financing constraints for SMEs is different,so the supervision and guidance should be treated differently.It is important to regulate the healthy development of shadow banking and promote the development of SMEs.