Agricultural Mortgage Financing Business Operation And Risk Control Study

The lack of collateral is an important reason why rural credit demand has not been met for a long time.One of the ways to crack down on agricultural credit constraints is to allow rural property rights to be mortgaged.In order to break through the dual urban-rural structure of Chongqing and achieve rural rejuvenation,Chongqing City took the lead in fully implementing the rural property mortgage financing pilot work in 2010 and established the Xingnong Financing Guarantee Group to serve the rural areas.Xingnong Guarantee is the first guarantee agency in China that is exclusively responsible for the financing of agricultural property mortgages.The rural land mortgage financing business is its core agriculture-related business.This paper researches on how Xingnong Guarantee conducts business and controls risks,which can provide some experience in developing rural property mortgages in rest areas of China.Firstly,this article summarizes the problems that need to overcome in developing the rural land mortgage financing business in China through literature research.Then,after comparing the domestic and foreign agricultural land mortgage financing models,it finds the special significance of guarantee institutions in the Chongqing rural land mortgage financing model.After that,this article introduced the current situation of Chongqing's property rights mortgage financing business and focused on the business process and risk management methods of Xingnong Guarantee Group.On the basis of analyzation,This article takes an example of a classic agricultural land mortgage financing guarantee business of the Xingnong Guarantee Group to analyze the business process and risk control experience of Xingnong Guarantee.After analyzing the "Y Agricultural Company Financing Guarantee Project" carried out by Xingnong Group,it was discovered that:(1)Xingnong Group has an "umbrella" and "chain" structure,which can quickly expand the scale of business within the guarantee group and divert risks.(2)In the process of carrying out agricultural land mortgage financing,strict anti-guarantee measures have been implemented.The value of farmland as collateral is still insufficient.(3)The most important risk is poor management.Improving the operation level of individuals and enterprises is the key to solve the risk of agricultural land mortgage financing.Finally,what need to be pointed out is that there are still some improvements in the agricultural land mortgage financing guarantee.To further reduce the risk of agro-financing guarantee business,the financial institutions need to improve themselves.