Five microfinance companies in Urumqi got approved and Urumqi Huachun Microcredit Company was on the list

    The result about the approval of the first batch of microfinance companies in capital of Xinjiang to which all sectors of the soecity paid attention since Interim Measures for Management of Microcredit Companies Pilot of Xinjiang Uyghur Autonomous Region issued in February 2009 came out in midmonth April, 2009. 5 companies including Huachun Microcredit Company were finnaly got approved among 11 companies who applied for establishment of microcredit companies upon review and screening by Work Leading Group of Urumqi Microcredit Company. The establishment of small loan companies marked providing loan service by private capital was legal in Urumqi hit by global financial crisis and effective measure taken by Urumqi Government to help SMEs deal with financial crisis entered the implementation stage and microfinance compnanies were becoming an important component of finacial service system.
    Urumqi Huachun Microcredit Co., Ltd. was founded in positive respond to the call of "developing Urumqi’s microfinance business, and promoting economic development” put forward by the People’s Government of the Autonomous Region and for solving the problems of “agriculture, farmers and rural areas” , financing of SMEs in the autonomous region and complying with the laws of economic development. Its shareholders was composed of by corporate entity, natural person and other social organizations. It was registered in Xinshi District, Urumqi with registered capital of 100 million Yuan.
    Urumqi Huachun Microcredit Co., Ltd. runs from a high starting point and makes strict criteria    
    At first, it operates independently within the scope of the law and regulations. Under the supervision of the People’s Government of Xinshi District, The People’s Government of Urumqi, Finance Office of the People’s Government of Xinjiang Uyghur Autonomous Region and strictly implements financial policies and national policies and their legitimate business activities is protected by law.
    Second, it operates based on quasi-bank’s standard. In order to ensure strict and normative running of the company. it bsorbs professional personnel from various financial institutions to be engaged in the daily credit and risk control. It adapts to the demand of SMEs financing for "short period, small amount, frequent and urgent loan"  and can effectively solve SMEs’ urgent need for funds in Urumqi and make up partial needs that banks couldn’t take into account.
    Thrid, to maximize shareholder’s interests. It has independent corporate property and its shareholders bears liabilities based on subscribed shares and enjoy the rights of major decisions participation, capital gaining and right manager choice. It has clear property rights and information symmetry, with interest rate no more than 15%.
    Fourth, it has clear development target. According to Interim Measures, “The company with net capital no less than 100 million Yuan and operating a microcredit company for more than one year can eastablish a brach in a different place.” Huachun Microcredit Company strives to be a brand company among microfinance companies in Urumqi and realize smooth transition into village bank and joint-stock commercial bank and ultimate listing in three years.