Research On Micro - Finance 's Support To Seasonal Poverty In Yunnan Rural Areas

In rural areas where mainly plant crops like the countries in Yunnan Province, the farmers? economic status are infected by income and expense changing seasonally. Thus, the farmers? economic positions have shown the seasonal characteristics.In recent years, micro finance in Yunnan Province developed so fast, and their scales continue to grow bigger. With the advance of financial market reform, microfinance development will usher in a peak period. Microfinance loans have features of flexible term loan and fast, but the current situation of the development of microfinance in Yunnan Province is incompatible with Yunnan seasonal characteristics. The main reason is that the maturity and the amount of the loan between them do not match.In the second and the third charts of this paper, the writer introduces the theories about poverty which have seasonal characteristics and some forms of micro finance. And then the writer takes three examples of countries which have efficient micro financial institutions in countries and analysis the reasons to their success.In the fourth chart of this paper, we analyze the economic conditions in rural area of Yunnan Province and find that it has seasonal characteristics obviously. The income and expenses of agriculture, the outside salary income and the education spending has the most important influence to seasonal economic condition in rural area of Yunnan Province.Focus on Yunnan seasonal characteristics of rural economic conditions, the writer studies the feasibility model of credit support to rural with micro finance in the fifth chart of this paper. The financial institutions which engaged in micro finance operations can provide appropriate credit products to reduce seasonal poverty in Yunnan Province with designing innovative financial products.