Research On Category Management And Policy Supporting Mechanism Of Agriculture-related Loans

Agriculture-related loans are various types of loans issued for the prosperity of the rural economy, agricultural development and farmers'wealth. Agriculture-related loans are the main funding source of the urban and rural development, and the key elements of a new socialist countryside construction. With the opening of agriculture-related lending areas, agriculture-related loans to financial institutions are in the period of increasing dosage, the investing fields are gradually expanding, as well as financial innovation products gradually increasing. However, rural governments at all levels and types of economic entities in rural areas have still generally reflected the financing "anemia", especially for the rural households planting and breeding, professional cooperatives, agricultural enterprises and others, there are troubles in loans, guarantees and insurance. Quality and efficiency of rural financial services can not meet the needs of economic and social development and farmers diversified financial services.Obviously, the current regulations of agriculture-related loans are not suited to the characteristics and realities of agricultural production, and can not accurately reflect the valid funding supply of rural economy entity in the areas of agriculture-related loans to financial institutions, such as rural planting and breeding, professional cooperatives and agricultural leading enterprises. And the regulations have seriously confused and restrained the need of rural funding entity especially rural households planting and breeding, professional cooperatives and agricultural leading enterprises. what is more serious is that they have impacts on the effective policies and measures of "three rural" issues which are delivered by New Party Central Committee and State Council .This paper was based on economic theory, modern commercial bank credit management principles and related regulations of agriculture-related loans, and comprehensively wielded the empirical analysis, comparative analysis of industry, benefit and risk assessments on agricultural loans. It has deeply investigated the problems and resources of loan fields, the scales and structures of supply and demand, and management measures. On the base of generalizing and referring foreign agricultural loans, this paper, defining the connotation and extension of agricultural-related loans from the theoretical perspective and scientifically dividing them from technological perspective (with emphasis on farmers, agriculture specialized cooperative economic organizations and leading enterprises, etc), established a standard classification rules applicable to all financial institutions, and set up preferential agricultural credit management and appraisal system framework from the technical level. All of these above mentioned have important theoretical value and actual constructive meaning for improving agriculture industrialized operation and modern agricultural lending management theory, for standardizing classified management details, for ensuring valid funding supply for agriculture and farmers, and for actually implementing all types of preferential policy.This paper included seven chapters. The first chapter summarized the purpose and significance of paper topic, reviewed the main contents and methods in the current studies on topic, and defined some nouns. The second chapter defined the connotation and extension of agriculture-related loans, and expounded the theory of weak agricultural, agricultural credit and agricultural credit policy which provided the theoretical basis of the paper. The third chapter, taking X City for example, analyzed the scale of agriculture-related loans and management of supply and demand status of an empirical on the orientation and amount of agriculture-related loans were reviewed. The fourth Chapter summarized the current management of agriculture-related credit problems, and analyzed the causes from the internal and external points on the basis of the third chapter.The fifth chapter generalized the dividing methods of loans and gave consideration to the policy-related and high-risk characteristics, and based on the above the chapter put forward the classified standard and foundation based on the division of industry. Meanwhile it raised the refining procedure of loan classifications, and optimized the funding usage efficiency. The main innovation of the paper is that it designed the classified management rules, came true the distinct treatment to types of agriculture-related loans, and supported separately. In the sixth chapter we set the policy support mechanisms of the classification management of loans, mainly including improving policy system and agriculture-related loans credit guarantee mechanism, establishing a financial risk on farm financial institutions, compensation mechanism, establishing and improving the agricultural insurance system and so on. The final chapter is complimentary close, and referred to the conclusion, limits and the future researching direction. The main research conclusion of the paper:The main research conclusion of the paper:(1)The definition of "agriculture-related loans" is vague ,non-standardized, and non-uniform. Now the usage of "agriculture-related loans" dated from the conception or statistical indicators that have been applied when corresponding financial institutions allowed finance to support the development of three rural. Its intension and extension have not been scientifically defined by scholars.(2)The current practical situation of agriculture-related loans management have not yet carried out a scientific level category, and there is still the lack of standardized classification of administrative rules and restraint mechanism。Standards for the classification of agriculture-related loans with classification criterion for risks and loans have not met the development of "three rural". Therefore, to set up agriculture-related loans category management suitable for types of financing situations is the most important mission of the reform of rural deputized credit institution. (3)Existing agriculture-related loans from the policy institution merely describe the comprehensive guide, and lack the distinctive supporting measures and feed back system. Due to the adjustment of country industry policies and the coordinated development of macroeconomics, the supporting policies concerning agricultural safety and efficient supply of farm loans should be differentially carried out in such respects as interest rate mechanism, credit security, risk compensation, agricultural insurance.