In this study, it was based on the example of the Ningxia Huizu Autonomous Region Yanchi prefecture about a farm village micro finance function in the northwest district in China and a system of administration and clarified it. The following became clear by this consideration.
1)This micro credit system was united with life and culture improvement activity not the loan of the simple fund, and functioned continuously. I was able to demonstrate a phenomenon of the endogenous development in the country in China from these.
2) The micro credit organizations participated in agriculture reporting, farm products and daily necessities sale, agriculture material purchase store management, and did a company of the small-scale company which used local resources and made an employment opportunity. By it, the general aid organization of the poor farmhouse played a role.
3) The interest of this micro credit is not low in comparison with the others. A loan interest rate and a livingry fee are included in it. But time hangs over there for collection and the savings collection of loan funds in the place where traffic is inconvenient for, and a business cost rises in spite of low wage. As these measures, each the grade government, more substantiality of the support of the public financial institution such as the development Bank is necessary.