company funds between all of the information, local cooperative banks in the choice at the same time determine the cooperative banks have the responsibility of monitoring small loan company. While strengthening social supervision . that local governments can establish the system of reporting prize, for the presence of illegal fund-raising, violent noisy in the small loan companies reporting prizes, arouse the enthusiasm of social supervision. 3.3 The ability to improve risk control
Small loan companies should further improve the corporate governance structure, develop effective and feasible implementation of company rules and regulations and ways to employ people with expertise to enhance the business training of staff, establish and improve risk protection fund system. The Government and relevant departments should gradually establish credit rating and incentives to improve awareness of small borrowers to repay. At this stage, small loan companies can only own capital loans, and \the credit does not exist\funds After all, limited, lack of funds is another major development of microfinance institutions bottleneck. In this regard, small loan companies eligible for the rural banks can be upgraded. Meanwhile, the Government can timely and appropriately relax the financing channels for small loan companies, and gradually allow the small
business performance is good, excellent credit history of small loan companies through lending, deposits and other funding sources to expand, but also with a certain financial strength of private enterprises, and expand financing channels for small loan companies to improve risk control to ensure its sustainable development. Links download the free paper