Research On The Issues Of Small And Medium Banks Promoting The Development Of Small And Medium Enterprises

Small and Medium Enterprises(SMEs)occupy more than 99% of the total number of enterprises in China,and play a very important role in the current economic development of China: contributing 60% of GDP,50% of tax revenue,80% of jobs,65% of patent inventions,80% of new product development,75% of technological innovation.However,the financing problem is the primary problem that restricts the development of SMEs in China.For a long time,Small and Medium Banks of China have special advantages in terms of servicing demand for SMEs,such as scale matching,low information asymmetry and strong business incentives,therefore,compared with other financing channels,Small and Medium Banks are more suitable to provide financial support for SMEs and promote the development of SMEs.However,in the process of serving SMEs in China,Small and Medium Banks also have problems such as market positioning deviation and lack of innovation in business models,which lead to the weak will and ability to serve SMEs,and the promotion of the development of small and medium-sized enterprises cannot be fully exerted.In recent years,the rapid development of Internet Finance in China forces Small and Medium banks to return to serve the SMEs and accelerate the innovation and development of traditional business models,which significantly strengthen the will and ability of Small and Medium banks to serve SMEs.Therefore,studying the role of Small and Medium Banks in promoting the development of SMEs in the context of Internet Finance is of great significance to the solution of financing problems for SMEs and the development of SMEs,and it also has important significance for China's small and Medium banks to accelerate innovation and better serve the real economy.Firstly,this paper combs and summarizes the previous literatures on Small and Medium Banks and the financing of SMEs,and the impact of Internet Finance development on commercial banks;Secondly,it analyzes the mechanism and current situation of Small and Medium Banks effectively alleviate the financing constraints of SMEs and promote the development of SMEs,and the mechanism and current situation of Internet Finance force the reform and innovation of Small and Medium Banks;Finally,it uses Eviews7.0 measurement software to establish a vector autoregressive model about Internet Finance,Small and Medium Banks,and SMEs,then use the variance decomposition and impulse response function to empirically analyze the dynamic relationship between the three.Finally,the following conclusions are drawn: First,by providing loans to SMEs,Small and Medium Banks have eased the financing constraints of SMEs and promoted the development of SMEs,but the development of SMEs is mainly based on their own accumulation;Second,Internet Finance has forced Small and Medium Banks to carry out reform and innovation,which strengthened the will and ability of Small and Medium Banks to serve SMEs.Finally,this paper puts forward relevant countermeasures and suggestions about three aspects: SMEs,Small and Medium Banks,Financial environment construction.SMEs must achieve Internet-based integrity management,improve information disclosure,and increase credit availability;Small and Medium Banks should firmly serve SMEs,conduct more in-depth integration with Internet finance,and promote the innovative development of business and management models,further enhance the willingness and ability to serve SMEs.The government must continue to improve the construction of relevant laws and regulations and supervise the implementation of relevant policies,and actively build a "bank-government" cooperation platform to create a sound financial environment for the development of SMEs.