Research On The Supervision System Of Financing Behavior Of Microfinace Companies

In the late 1990 s,the pilot work of microfinance companies began in full swing.After 20 years of unremitting efforts,micro-credit companies have gradually expanded from one company in Shanxi Province to nearly 9,000 across the country,and they have made significant contribution to serving farmers,small and medium-sized enterprises and the entire rural economy.In 2008,the relevant state departments promulgated the "guidance opinions on the pilot projects of microcredit companies"(hereinafter referred to as the "guidance opinions"),which defined the microfinance companies and provided detailed regulations on their financing,operation,management and other aspects.Compared with traditional financial institutions,microfinance companies have their inherent characteristics and missions since their birth,so the financing behavior is aslo different from the conventional financial institutions,that is,they can not absorb public deposits.After this restriction,the difficulty in financing and increasing capital have brought the bottleneck to the development of micro-loan companies.At present,China has not issued a special law to regulate the financing and operation of microfinance companies.The main regulatory basis still remains in the "guidance opinions" and the regulations for the management of small loan companies issued by various provinces.In the process of implementing specific supervision,it has been found that the business level and professionalism of many regulatory agencies need to be improved,and there is a phenomenon of regulatory confusion.The state shall introduce corresponding regulatory system to ensure the safe and orderly operation of microfinance companies and prevent against legal risks such as illegal fund-raising.By combing the numerous supervision basis of microfinance company’s financing behavior at present,this paper finds out the weakness of the current supervision mode,and tries to perfect the legislative system,clarify the legal nature and the subject of supervision of the microfinance company,promote the development of trade associations and other ways to improve the financing regulatory system.At the same time,based on the increasing demand of the rural financial market,it is suggested that the financing conditions of micro-loan companies should be relaxed appropriately,and the shareholding ratio of natural and legal shareholders of the companies should be expanded as appropriate,and the successful experience of foreign countries should be followed,raise the financing leverage ratio from commercial banks,make microfinance companies break through the current bottleneck period,and help our country’s rural economy develop better and faster.