Inclusive finance is listed to deepen rural reform and focus on sending money to the land.

The financial problems that have been plaguing rural areas may be solved with the arrival of the era of Internet +.

On November 2, the General Office of the CPC Central Committee and the General Office of the State Council issued the Comprehensive implementation Plan for deepening Rural Reform, calling for accelerating the innovation of the rural financial system, "expanding the scale and coverage of rural financial services, and innovating the model of rural financial services. We will comprehensively raise the level of rural financial services and promote inclusive financial development." It is generally believed in the industry that Internet + will be an important way to achieve inclusive finance in rural areas and solve the "last kilometer".

The Huaxia Times has learned that at present, Internet finance has entered the rural areas on a large scale, and the loans for serving agriculture, rural areas and farmers, such as Wyron loans, Yixin, and Hope Finance, have reached tens of billions, of which more than 15 billion of them are Wyron loans.

Yu Jianrong, director of the Social problems Research Center of the Institute of Rural Development of the Chinese Academy of Social Sciences, believes that rural finance needs to solve the problems of capital cost and credit. "for example, the pterodactyl loan is solved through the organization of five or six people. The greatest significance of the Internet lies in the transparent supervision of information communication. I am hopeful that the Internet will solve China's rural financial problems. "

Loan "triple door"

How difficult is it for farmers to get loans?

A reporter from the Huaxia Times conducted a survey on credit cooperatives in rural areas of Hebei Province. if farmers want to obtain loans from local credit cooperatives, they must have three hard conditions: commercial street facade houses, certificates of deposit higher than loans in credit cooperatives, and civil servants who pay wages through credit cooperatives as guarantors. Such a high threshold is not an isolated phenomenon, but the general situation that rural areas are facing difficulties in loans.

Yu Jianrong told the Huaxia Times that the current situation of rural finance can be summarized as follows: first, the problem of illegal fund-raising and fraud in rural areas has become increasingly prominent, and the second usury is very serious. "We have done a survey, 16.8% of people think that they need money, 56.8% of people say that funds are very tight, while farmers think that rural loans are inconvenient accounting for 69.6%, and usury in loans is also very serious."

The main property of farmers is land, woodland and houses, but because of the current nature of rural land, the land can not get a mortgage loan in the bank. This plan proposes to "steadily carry out the pilot project of mortgage loans for rural contracted land management rights and farmers' housing property rights, and innovate and improve the forest right mortgage loan mechanism." In fact, the State Council issued a number of opinions on the development of "agriculture, rural areas and farmers" last year, which clearly called for "innovative rural mortgage guarantee methods". Land, woodland and houses were included in the pilot mortgage or expanded scale. But this does not ease the problem of farmers' loan difficulties.

The bigger problem of farmers' loan difficulty lies in the institutional arrangement of traditional banks. A Hebei rural credit cooperative told the Huaxia Times that farmers' mortgage loans are small, such as forest rights and land contract rights. "Farmers also need millions of risk control and management personnel to borrow tens of thousands of loans. The bank will take into account the cost. The operating space for mortgage loans is limited. "

With the arrival of the era of Internet +, the difficulty of farmers' loans is gradually broken. Internet financial P2P platform connects urban and rural areas, breaks the boundaries of regional networks, and allows idle funds of urban dwellings to flow to rural areas through the platform, which realizes the financial accommodation between urban and rural areas.

At present, Yixin, New Hope's hope finance, Lenovo holding company Wylong loan have all laid out the rural financial market, in addition, Ali, JD.com and so on have also begun to make great efforts to layout. Compared with many traditional banks which only deposit from rural areas, Internet financial enterprises undertake the function of blood transfusion to a large extent.

Cai Kailong believes that Internet finance has grasped the characteristics of China's rural areas and solved the problem of farmers' financing difficulties and farmers' need for quick loans. "for example, the pterodactyl loan can be released in one to three days as long as the information is complete. The real approachable way is very vibrant."

Take the sheep to pay the debt

In 2013, the third Plenary session of the 18th CPC Central Committee included inclusive finance in the party's resolution for the first time. At the executive meeting of the State Council in 2014, Premier Li Keqiang proposed that shortening the "last kilometer" of rural economic development needs multi-party support. With the rapid development of inclusive finance in rural areas, farmers in the farming industry with rural characteristics began to enjoy the benefits of online loans.

Zhang Bingyin is a big pig farmer in Gong Liu Village, Guanhui Town, Xiangcheng City, Henan Province. pork prices have continued to decline during the Spring Festival this year. Lao Zhang has no money to buy feed and is reluctant to sell pigs at low prices. There is no way to borrow money from the bank. When he saw the advertisement for "unsecured, unsecured" pterodactyl loan, Lao Zhang found the Wyron loan and got 60,000 yuan in credit. Later, pork prices bottomed out and rebounded, and Lao Zhang earned back all the money lost by the pig farm last year.

Most farmers in China don't know how to access the Internet. How can they borrow money online? Through the model of local franchisees, the network extends to more than 300 prefecture-level cities, more than 1500 counties and districts, and more than 10000 townships. Farmers can enjoy loan services without going out of the village.

However, for Internet finance, it is still inseparable from the core issues such as asset-side acquisition, risk control management and so on. In particular, where are the opportunities for pterodactyl loans in rural areas when agricultural profits are meagre?

According to Wang Sicong, CEO of pterodactyl loan, what we do is the characteristic farming and breeding in rural areas. "Farmers who really grow grain may not be able to borrow this money." Even if it is located in characteristic agriculture, pterodactyl loan is still faced with the problems of farmers' running and bad debt rate. Wang Sicong did not evade this problem: the loss rate of Pterodactyl loan was basically 80% to 90% before 2012, and fell after 2014. "for farmers, the cost of running away is very high. Through systematic adjustment, the current loan loss rate has been reduced to 3%, mainly because we increase personal guarantees and require farmers to sign lease agreements. We are in the process of trial and error and iteration. "

The Huaxia Times learned that the pterodactyl loan is not a mortgage loan, but a credit loan. The loan needs of farmers depend to a large extent on franchisees all over the country. The traditional countryside is still an acquaintance society, and the joining mode can infiltrate into each village.

Wang Sicong believes that the joining model of pterodactyl loan helps to reduce costs, but it still needs to guard against the risk of franchisees.

"before 2012, some franchisees ran away with lenders. At that time, the system was not sound. After joining Lenovo, we completely changed it. For example, Lenovo is an agency system and franchise system. Joining Lenovo has brought the management of the entire national franchise to a big step."

In order to reduce the risk of borrowing farmers, the operation mode of Yilong loan is different from the mortgage loan of banks, but flexible for different agricultural products. Wang Sicong said in an interview with the Huaxia Times that rural areas are special. For example, when sheep prices in Inner Mongolia fall this year, it will be more difficult to repay. "the pterodactyl loan can be extended, interest rates adjusted, or even discounted, and it can also be negotiated with farmers. The bank can't do it. If the farmers can't raise sheep, give us sheep. "

Due to the continuous loans to farmers, many farmers embark on the road of getting rich, and the line of credit will be higher and higher. Wang Sicong believes that rural areas need long-term financial support, such as borrowing NT $60,000 or NT $70,000 for two vegetable greenhouses, hundreds of thousands of loans for dozens of greenhouses, and millions of loans for industrial leaders. "as we promote the market, our financing costs and operating costs will also fall, and lending costs will also fall, and we hope to cover more farmers."

At present, except for pterodactyl loan, trustworthiness, hope finance and so on are generally similar models, sending money to the fields. Yu Jianrong believes that P2P can solve the difficulties of rural financing and make a great contribution to the development of China's rural finance, and Internet finance can change rural areas.