Full Case Study: Guangdong finance support rural revitalization! Let’s see how banks do it 2021

Comprehensive promotion of rural revitalization cannot be separated from the strong support of finance. On July 21, the Guangdong Banking Association held a press briefing for the second quarter of 2021 for the Guangdong Banking Industry. Seven banking institutions, including the Guangdong Branch of the Industrial and Commercial Bank of China, the Guangdong Branch of the Agricultural Bank of China, and the Guangdong Branch of the Bank of China, introduced the specific measures of each bank to implement the financial policy of “rural revitalization”.

We will increase financial support for rural revitalization; set up special service institutions to promote the deep sinking of financial services; explore new models and methods to solve the pain points of rural revitalization in new financial ways… The reporter learned from the meeting that since this year, Guangdong banking financial institutions have launched a series of “hard core” measures to continue to serve the countryside. Revitalization provides financial support.

According to the data of Guangdong Banking and Insurance Regulatory Bureau, the Bureau has guided banking institutions to set up 401 built-in institutions for rural revitalization, and promoted the establishment of the country’s first characteristic sub-branch for rural revitalization. The scale of agricultural-related loans in the jurisdiction has reached 1.6 trillion yuan, which has been growing positively for 11 consecutive years.

After the overall victory of poverty alleviation, promoting rural revitalization in an all-round way is a historic shift in the focus of the work of agriculture, rural areas and farmers. The focus of the “agriculture, rural areas and farmers” of banking financial institutions will also change. The reporter learned at the briefing that in order to meet the financial support requirements of rural revitalization.

Guangdong banking financial institutions have accelerated the consolidation and expansion of poverty alleviation achievements and effectively connected with rural revitalization. Hu Xianwen, vice president of the Guangdong Branch of the Industrial and Commercial Bank of China, said that in order to effectively connect the achievements of poverty alleviation with rural revitalization, the bank maintains an overall stability in financial assistance policies and support for designated villages during the transitional period, and further strengthens follow-up financial support such as industrial assistance and employment assistance.

Wu Weimin, deputy director of Guangdong Provincial Federation, said that the Provincial Rural Credit Union signed a strategic cooperation agreement with the Provincial Department of Agriculture and Rural Affairs, and planned to invest a total of not less than 1 trillion yuan in credit funds in the next five years to support rural revitalization, agriculture, rural areas and farmers and real economic development.

Zhang Li, deputy director of the Statistical Information Department of Guangdong Banking and Insurance Regulatory Bureau, said at the meeting that the Guangdong Banking and Insurance Regulatory Bureau has set up a special leading group office to promote the banking and insurance industry to support the overall rural revitalization, and guided banking institutions to set up 401 built-in institutions for rural revitalization.

The establishment of special built-in institutions by banking institutions means that they will be guaranteed from the institutional mechanism. The reporter learned from the briefing that banks have set up special institutions one after another to increase their support for rural revitalization.

He Chunlin, vice president of the Guangdong Branch of the Agricultural Bank of China, said that the bank has set up a financial service rural revitalization promotion group, issued a three-year implementation plan for financial services rural revitalization, and carried out special actions such as “raising shares, increasing contributions, strengthening the foundation” and “deeply ploughing the rural market” in the county.

Playing the “system card” well, banks have increased the assessment of relevant indicators for rural revitalization, and played the role of the assessment “baton”. Yuan Zhizhong, vice president of the Guangdong Branch of the Bank of China, said that the bank has included agricultural-related loans and inclusive agricultural-related loans in the KPI indicators of institutions at all levels under its jurisdiction, carried out differentiated assessment of the increments of agricultural-related loans that year, and clarified the development goals and measures for agricultural and rural business qualification breakthroughs, customer base, deposits, credit granting and other aspects. Apply and configure corresponding rewards and punishments.

It is reported that in order to promote financial services to sink to the countryside, banks continue to explore, establish rules and regulations to enrich and improve the rural revitalization system. Deng Jing, vice president of Guangdong Branch of China Construction Bank, said that the bank has specially formulated development service policies for county sub-branches, given key support in terms of human, financial and other resources, and strongly supported the ability of county sub-branches in the east, west and northern Guangdong to serve the local rural market.

Zhong Dajian, vice president of the Guangdong Branch of the Bank of Communications, said that the core departments of the bank’s business jointly focus on key areas and related areas of rural revitalization, and promote relevant financial support such as rural revitalization credit business, rural revitalization bills and other debt financing instruments, special debt underwriting issuance, consumer credit and so on.

Combine industrial characteristics and borrow financial technology

Vigorously promoting rural revitalization is an opportunity and a challenge for financial institutions. Especially for commercial banks that have long been rooted in cities, how to do a good job in rural financial services is a new test question.

In order to find a methodology for serving rural revitalization, Guangdong Bank and Financial Institutions conduct in-depth front-line research. The Guangdong Branch of CCB has organized and carried out two large-scale investigations into the countryside, deeply excavated the pain points and difficulties of rural development, and provided a strong decision-making basis for formulating the development plan of the whole bank’s rural revitalization work for the next three years.

let financial institutions gradually anchor their goals and find the power point of financial services for rural revitalization. He Chunlin said that Guangdong Agricultural Bank of China has found a new digital path to serve rural revitalization. The bank has further promoted the joint construction of Guangdong Provincial Administration and Mathematics Bureau and the Provincial Department of Agriculture and Rural Affairs, optimizes and improves the industrial park fund supervision system jointly built with the Provincial Department of Agriculture and Rural Affairs, and the donation property management system of Guangdong Poverty Alleviation Day activities.

At the same time, we have vigorously promoted and applied the “three capitals” management platform, and has signed agreements with 34 district and county governments and realized system docking. We have continued to promote the construction of the Huinongtong project, upgraded equipment and functions to nearly 12,000 service points, so as to achieve full coverage of basic financial services of “not leaving the village”.

Hu Xianwen revealed that in response to the problem of financial services reach, the Guangdong Branch of ICBC will carry out the construction of “ICBC Post Station” in rural finance, and explore a new model for financial commissioners to enter township financial service stations to provide manual services or door-to-door services for the local people. In addition, in order to meet the needs of people in rural areas for the convenient use of financial services, the bank strives to strengthen the construction of Internet and mobile payment scenarios and continuously improve service coverage.

Recently, the bank has innovated and launched online financing products by integrating agricultural-related data and using “agricultural big data + financial technology” to realize the whole process of customer screening, business processing and risk control online processing and intelligent processing.

Facing and solving the difficulties, pain points and service obstacles that the traditional financial system cannot solve in the vast rural areas, how can financial institutions serve the last kilometer of rural revitalization well? At the briefing, Guangdong banks gave their own answers.

Hu Xianwen said that rural revitalization is the common cause of all walks of life and all walks of life. To this end, the bank fully mobilized all forces and formed an alliance. For example, it is planned to set up a rural revitalization industrial alliance with “the following township enterprises as the main body and the broad participation of all parties in society” to promote industrial and commercial capital and products to the countryside and serve the development of rural industries.

Wu Weimin said that the bank focuses on “financial innovation” to help rural supply-side structural reform. First, actively explore the “three rights” mortgage loan. Through the combination guarantee mode of “homestead + natural person guarantee”, “collective land + enterprise guarantee”, “collective land + agricultural order”, the reform of the rural land system, rural collective property right system and forest right system is served.

Second, vigorously promote the innovation of “supporting agriculture and small” financial products, and develop a total of 834 small-scale characteristic loan products such as “fishing and farmers loan”, “fishing boat loan”, “tea loan” and “pineapple treasure”, so as to solve the problem of insufficient mortgages in rural areas.

It is reported that in response to the construction of the rural credit system and the imperfect financial infrastructure services, Guangdong Rural Credit has also given full play to the scale advantages of 81 legal institutions, more than 5,600 outlets and 220 million customer accounts under its jurisdiction, implemented the “Guangdong Rural Inclusive Financial Household Connect”, and strived to achieve the local “household” of agricultural and commercial banks.

With accounts, households with credit, households with credit, households with financial management, and households with services, connecting Guangdong financial capillaries with counties, districts, villages and thousands of families in the province, opening up the “last meter” of inclusive finance. At present, “Household Connect” chooses Chenghai District, Shantou City as a pilot, and promotes it according to the path of piloting, summarizing and promoting.