Hunan Rural Credit Cooperative Increases Loans to New Agricultural Business Entities by 49%
Huasheng Online News, October 23 – The Hunan Rural Credit Cooperative has reported a significant increase in loans to new agricultural business entities in the province. As of the end of September, a total of 17.72 billion yuan ($2.5 billion) has been issued, representing a 49% increase from the beginning of the year.
The development of new agricultural business entities plays a crucial role in promoting rural revitalization and achieving agricultural and rural modernization. In recent years, the Hunan Rural Credit Union has been actively providing financial support to these entities through innovative service models such as credit rating, industrial chain finance, and dispatching “financial village officials”.
One successful example is the Jiufeng Camellia Professional Cooperative located in Baiyangtian Town, Linxiang City, Yueyang. With the assistance of Linxiang Rural Commercial Bank, the cooperative has been able to establish a comprehensive base for camellia oil production, processing, and tourism. Their annual profits have reached approximately 70 million yuan ($9.9 million).
Farmers’ professional cooperatives, family farms, and large professional households represent the new agricultural business entities in the province. However, these entities have faced challenges in terms of difficult, expensive, and slow financing. Recognizing this issue, the Provincial Rural Credit Union has launched a special work plan for credit rating to improve the credit support conversion rate for these entities.
Several rural commercial banks have implemented various measures to address this financing problem. Liuyang Rural Commercial Bank, for example, provides comprehensive financial services to entities with good credit records based on credit rating and approval. Xiangtan Rural Commercial Bank has upgraded a branch to cater specifically to the needs of a modern agricultural demonstration park, offering customized financing solutions. Meanwhile, Hengnan Rural Commercial Bank has established a mechanism that meets the financing needs of new agricultural business entities through the “new rural entities + whole village credit” model.
The Provincial Association and rural commercial banks in Hunan have developed a range of products to cater to the diverse financing needs of new agricultural business entities. These include standard products such as “Hui Nong Quick Loan” and “Rural Revitalization Card,” as well as special products like “Family Farm Loan” and “Pig Loan.”
The efforts of the Provincial Rural Credit Union and rural commercial banks have greatly facilitated the financing process for new agricultural business entities in Hunan. This increased support will contribute to the growth and development of the agricultural sector, promoting rural revitalization and modernization.
(First instance: Deng Wangjun, Second instance: Shi Wei, Third instance: Yu Zhenhua)