Micro Credit Open Doors for Farmers

Cao Linzhao, a 40-year-old farmer with a junior middle school education, hails from Tuanshuitou Village, Linxian County in northern China’s Shanxi Province.

Linxian County was listed by the central government as one of China's poorest counties and Tuanshuitou Village is located in an impoverished mountainous area.

Due to the limited land area and little rainfall, farmers here have to look for employment in the city in order to make a living. Cao is one of those leading a hand-to-mouth life with an annual income of only 6000 yuan (US$967.8) a year. Unfortunately, Cao lost the sight in his left eye in an accident and through that his whole family lost their only life line.

Thanks to the micro credit provided to Cao Linzhao, he was able to set up his own construction team and start his own business. Managed by Cao, their business developed very swiftly and each member of the team saw an increase in earnings. Cao's annual income alone increased to 30,000 yuan (US$4839).

Cao attributes his success to the help of micro credit. "It is micro credit that opened a door for me and I am expecting a better future with the support of it," he said.