Research On Risk Management Of Farmer Microcredit In Daxinganling Rural Commercial Bank

Agricultural credit supply is the core of rural finance, which is of greatsignificance to support and promote the development of three rural issues---agriculture, rural areas and farmers. In order to improve the vacancy of rural creditservice actively, since2000, Farmers Microcredit, as a general arrangement ofinnovation, has formally begun to operate in our country, which, in the past decade,has been growing rapidly, effectively remitting the financing difficulties of thefarmer, and playing an extremely important role in new rural construction. Asrepresentatives of Rural Commercial Bank and Rural Credit Cooperative, the localcorporate financial institutions are the most important supply bodies of China’sFarmer Microcredit. However, for various reasons, its current credit riskmanagement still lags behind, which will limit the healthy and sustainabledevelopment of farmers small loans business.This thesis based on the significance of Farmer Microcredit to the "Three Ruralissues" development and the current research about Farmer Microcredit riskmanagement home and abroad.Through scientific methodology of field investigation,literature reading, qualitative and quantitative analysis, aimed Daxinganling RuralCommercial Bank at the target, the first Rural Commercial Bank in Heilongjiangprovince. First gives a review and summarization of the target’s present situation asto the development of the Farmer Microcredit business and risk management. Onthe basis of this conclusion, it provides a systematic and comprehensive analysis ofits problems existed in its risk management from different aspects, say, theorganizational structure, internal control mechanism, risk assessment and earlywarning, the human resources construction, the construction of Farmer Microcreditassessment, and interest rate pricing. Finally, the paper presents the suggestion ashow to optimize and promote farmers’ small loans risk management in DaxinganlingRural Commercial Bank, along with a related external security policy.Through this study, it will be more clear to understand the main defects ofFarmer Microcredit existed in its risk management system, and an etiotropic solutionwill be given to further strengthen Farmer Microcredit risk management in thetransitional process of a Rural Commercial Bank. Likewise, it will be a beneficialreference to promote the sustainable development of Farmer Microcredit business, tofurther enhance the Rural Commercial Bank’s main force.