First Willage Bank Opened in Xiaolan Town in Zhongshan

dong Province, the first village bank, Zhongshanare feeling the pressure of funds, after all, the
Xiaolan Town Bank opened for business. The bankmajority of SMEs in the lighting industry. In fact,
by the holding of Jiujiang City Commercial Bankeven greater than now, that is, usually, many
launched the trial has been running for nearly aenterprises do not suffer from financial
year.constraints want to do. Since the majority of SME
Village banks and bankers in Bangladesh economistcredit, financial condition and other aspects are not
Muhammad? Yunus created, called the world'senough, the general commercial banks are
most successful model of a rural finance. Becausereluctant to lend money to them, for fear of risk.
"from the bottom to promote economic andTherefore, we can often see reports on SME
social development efforts", he was awarded thefinancing difficulties, the recent introduction of the
2006 Nobel Peace Prize. Last year, China began topolicy at all levels of government to help SMEs
develop from the village bank, has now beenfinance again, but the commercial banks is the
established in many provinces, village banks."thunder, little rain," many companies often
According to the authoritative definition ofinaccessible to the copies only.
domestic, rural banks is in accordance withShould be noted that, Zhongshan City Lighting
relevant laws and regulations, the domestic andindustry, families, workshop-style corporate few,
foreign financial institutions, domestic non-financialthey also have a strong development aspirations;
institutions, corporate legal persons, naturalthere are many professionals who are also
persons within the investment, mainly in ruralplanning to start, but have insufficient funds.
areas set up for local farmers, agriculture andPrivate finance may be a solution, but also
rural economic development to provide financialcontains a number of risk factors. The village
services banking financial institutions.banks are able to help, and to minimize financial
China supports the establishment of village banksrisks.
are building a new socialist countryside, rural areasLighting industry, smaller, less capital investment is
with low coverage of banking and financialan important factor. Lighting industry has relied on
institutions, financial issues such as inadequateendogenous development, through the slow
supply of innovations. Village banks, canaccumulation of capital to achieve expansion, not
effectively solve the lack of local financial supply,only slow, but also inhibit innovation. In the future,
improve the local financial services to ease theto more channels by exogenous developments,
contradiction between supply and demand ofmergers, market, attract investment, are all good
microfinance issues in order to promote SMEidea, but for most SMEs, the timely availability of
development and growth, to better support thenecessary financial and credit support is the most
general income families to speed up developmentrealistic and most urgent. The establishment of
and prosperity and promote the people business.village banks for the general lighting business and
Also help to reduce borrowing and acts of civilentrepreneurs opened a way out.
private funding, stable rural financial order andHowever, the lighting industry to rely on their own
reduce financial risks.capital accumulation and non-financial development,
It is understood that the scope of bank lending,in the face of new financial innovations, it is really
Zhongshan Xiaolan town, and is not limited tonecessary to change attitudes and habits, and
Xiaolan Town, but can also lend to the surroundinggradually accept the new things, so not only
townships. This means that town, cross bar andconducive to the development of SMEs, but also
other advanced lighting industry, the town couldconducive to China's financial industry
benefit from the bank. We know, Zhongshan Citydevelopment.
Lighting industry cluster mainly in Xiaolan Town,Currently, Zhongshan City Lighting industry cluster
Guzhen Town, and cross bar, the lighting industrydevelopment has entered a new phase, new
is expected to "proximity and easier," villageopportunities and new challenges, especially in
banks receive strong financial support. Moreover,2008 on the promotion of industrial restructuring,
compared with the general commercial banks,there is need for the financial industry to play an
rural banks lowering the threshold for loans,active role in the manufacturing sector. We hope
flexible lines of credit, loans, faster, able to meetthat, after opening in Siu Lam village banks, can
most of the SMEs and individual entrepreneurshipprovide a temporary relief Zhongshan lighting
in the normal financial needs.industry cluster, icing on the cake.
In this so-called "winter", a lot of lighting companies