Product Design Of The Securitization Of Agricultural Credit Assets

Together with the structure adjustment of national agriculture industry, credit asset required by agricultural corporations and farmers increases, meanwhile, the effective supply of agricultural loan is far from sufficient, followed by loan cycle and agricultural production cycle out of phase, both of which restrain the development of rural-based economy. Hence, it behooves us to make full use of the practice in the securitization of agricultural credit assets, issue securities based on loan of agricultural enterprises, and lead again liquid asset into agriculture. In doing so, the fund issue in agriculture could be solved, institutional innovation in rural areas could be promoted, and fresh financing pattern in agriculture could be explored.It is 40 years since the asset securitization swept the whole world. Asset securitization greatly improves liquidity in financial markets, and effectively diverges and transfers the risk of the launch person. In 2011, it was clearly stated in China’s national economic and social development Twelfth Five-Year Plan that asset securitization should be steadily promoted; in 2012, the government announced that the scope of asset securitization extended to diversified credit assets, agricultural credit assets involved; in 2013, State Council executive meeting proposed to devote credit assets to "agriculture, rural areas and farmers", all of which are closely related to social production. Agriculture, fragile as it is in the economic development, demands support from assets securitization.Based on the basic theories of agricultural credit asset securitization, combined with the current development of agriculture credit asset securitization products, this paper will focus on the analysis of real cases of the product design of the securitization of agricultural credit assets, and propose constructive advises for the better development of the product design of the securitization of agricultural credit assets.