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Abstract

The rural micro-financial innovation is necessary because the traditional regular financial institutions can not satisfy peasant households’ demand of small-sum (or petty) loan and the support of present small-sum loan companies is limited for rural financial development. Taking Fuping Petty Loan Company as an example, we analyzed characteristics, reasonableness and continuity of social enterprise type peasant household petty loan mode. It is believed that this mode has enormous vitality in rural areas and has great promotion value. Petty loan companies have both internal and external shortages in their current development. We put forward countermeasures and suggestions for rural micro-financial innovation from legal status confirmation, fund supply and loan product innovation.

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