Performance Analysis Of Microfinance For Poverty Alleviation In Puyang County From The Perspective Of Farmers

Puyang County is a provincial poverty-stricken county in Henan Province.In the process of poverty alleviation,it is faced with the practical problem of large number of poor people and difficulty in poverty alleviation.In the early stage of targeted poverty alleviation,Puyang County introduced microfinance policies for poor households to help them achieve their own initiative to get rid of poverty based on the main local poverty situation.Since the policy was implemented locally in 2016,it has been "favored" by many poor households,and the number of loans applicants has increased year by year.The microfinance policy for poverty alleviation has become the "gold medal" poverty alleviation brand among poor households.It also transformed the local government’s previous “blood transfusion” into “hematopoietic” poverty alleviation,which reversed some of the poor households’ previous "waiting for help" bad thinking of poverty alleviation,and improved the quality of poverty alleviation for poor households in Puyang County.By studying the performance of the poverty alleviation microfinance in Puyang County from the perspective of farmers,to increase the government’s attention to the microfinance policy,and to ensure that the microfinance policy can play a solid role in the process of initiative poverty alleviation of poor households,stimulate the internal impetus of poor households,and realize the real poverty alleviation of poor households in Puyang County.This paper analyzes the performance of poverty alleviation microfinance introduced to the poor households in the process of poverty alleviation and income increase.After learning about the macro development of the poverty alleviation microfinance in Puyang County through various ways,the author elaborated the overall poverty profile of Puyang County,the local development and implementation of poverty alleviation microfinance in Puyang County.Through field visits and surveys,this paper analyzes the effect of different types of farmers’ poverty alleviation microfinance on their poverty alleviation and income increase.Through the methods of Logit regression,PSM propensity score matching and the combination of qualitative analysis and quantitative analysis,this paper determines the performance results of poor households using poverty alleviation microfinance in Puyang County.According to the local actual macro environment and the cases obtained by the author’s research,this paper analyzes the main macro limiting factors that affect the further improvement of the performance of local poor households using poverty alleviation microfinance.The research result shows,as an inclusive poverty alleviation policy,micro credit for poverty alleviation plays a significant role in stimulating the internal impetus of poor households’ and achieving independent and dynamic poverty alleviation and income increase,based on the actual local macro environment and the cases obtained by the author’s research,the main macro-restrictive factors affecting the further improvement of the performance of local poor households using micro-credit for poverty alleviation are analyzed.The results of the study show that micro-credit for poverty alleviation,as a general-purpose poverty alleviation policy,has a significant role in stimulating the endogenous development momentum of poor households and achieving independent initiative to lift poverty and increase income.In terms of performance,poor households use loan funds in breach of contract,poor households ’difficulty in repaying the principal after the loan expires,causing bad debt risk to the loan bank,and poor households’ own endowment of resources resulting in lower capital use efficiency issues.The promotion link,the problem of less perfect location and transportation construction,the problem of asymmetrical industrial information flow,the low quality of the members of the two village committees,the lack of relevant industry experience to help the responsible person,the formalization and sustainability of employment training,etc.Puyang County government stepped up improvement.In order to further ensure that poor households achieve poverty alleviation and income increase through poverty alleviation microfinance policies and further improve the performance of poverty alleviation microfinance,the author puts forward five suggestions based on relevant research conclusions:(1)Strengthen publicity and improve poor households ’correct loan awareness(2)Strengthen guidance and establish correct loan use methods for poor households(3)Strengthen training to improve poor households ’own skills and cultural qualities(4)Innovate the poverty alleviation microfinance policy system to promote the inclusiveness of the policy(5)Improvement Local macro constraints further improve performance results.