Research On Rural Microfinance In New Rural Construction

The Microfinance is continuing to provide small amount of the credit service to the low-income group. International authority recognized microfinance started in Bangladesh in 1970s. China also introduced the microfinance model in the early 1990s. Microfinance has developed more than 10 years and has made some achievements in China, but there were still many constraints. Building a new socialist countryside as the background, the paper aimed to study the content of building a reasonable model of microfinance. First, it introduced its background of building a new socialist rural .Because it was lack of rural financial system in the countryside, the paper introduced the concept of the microfinance, and concluded the practice of microfinance home and abroad. Second, it pointed out a number of mainstream ways of building new socialist rural, and noted the important role of microfinance in these channels. And it introduced the concepts of the rural industrialization, the industrialization of agriculture, the development of tertiary industries in rural areas and the development of ecological agriculture. Furthermore, it analyzed the relationship between microfinance and them. In the part three, the paper summed up the problems of rural microfinance. According to the difference of agencies, the paper divided the models of microfinance into two categories: the rural credit cooperatives and NGO .Because Macroeconomic environment has a significant impact on microfinance institutions, the paper recognized it as the third factor. In the part four, the paper raised how to build a reasonable model of microfinance. Then, the paper introduced the advantages and disadvantages of each model. After that, the paper raised the new model of microfinance, and the conditions of development of rural microfinance, which may or may not have now. At last, basing on the comprehensive analysis, the paper introduced several specific measures to improve the model of rural microfinance. This paper used the research methods that combine the theory and the practice. The text was on the basis of qualitative description, and received supports from the data and graphics. Therefore, the paper was adopted more descriptive content, and introduced a thinking of construction on a reasonable rural microfinance.