A Novel Big-Data-Driven Credit Reporting Framework for SMEs in China

Abstract

SMEs (Small and Medium-size Enterprises) in China always face financing constraints and hardly obtain bank loans under unsound financing system. In external f Academic literature has shown that widespread information asymmetry may prevent the efficient allocation of lending, leading to credit rationing. Currently, most credit reporting, models for SMEs in China are primarily based on hard information about the enterprises and their owners but lack comprehensive evaluation based on the combination with soft information. To bridge the gap for SMEs, we propose a novel big-data-driven credit reporting framework which presents a new credit reporting system by including big data in business, finance, and social networks. The proposed approach features in capturing diversified data online, conducting evaluation and analysis in real-time, and automatically generating online credit reports for SMEs, banks, and government. It also provides an efficient interactive way for SMEs to check credit reports online.