Rural Financial Development Impact On Agriculture Modernization In China

China is a big developing country, as well as an agricultural country. In recent years, although the proportion of agriculture in national economy is declining, but it is still an important part in the whole national economy and makes great contribution to the development of the whole national economy and social progress. However, because the policy guidance in the early days after foundation of PRC made industry as a priority, so the development of agricultural modernization was relatively backward. Naturally at present, agricultural modernization has become the weakest part in the construction of our modernization road. Funds as a primary force for promoting the development of the economy, the development of agricultural modernization also requires a lot of financial support. As a basic way of agricultural development, the sources of agricultural modernization funding must be selected from the rural finance. Rural finance capital support for agricultural modernization is the premise for ensuring the agricultural modernization development, without rural financial funding support, the process of agricultural modernization will be impeded, which is not conducive to the construction of socialist modernization in our country. However, the reform in the rural financial system in our country made a constant change and improvement in the rural financial system, but China’s current financial system still exist many shortcomings and defects, the rural financial supply in the process of agriculture capital, which has become a "bottleneck" of the development of agricultural modernization, to some extent, financial supply restricted the development of agricultural modernization.Chapter 1 mainly introduces the selected topic background and significance of this paper, which carries on the literature review of the theory of agricultural modernization and rural financial theory, involving the main research method of the qualitative analysis and empirical analysis. Chapter 2 mainly elaborates the present situation of rural finance in China, including the development of rural finance, the composition of rural finance, the development of present situation rural financial system, existing problems of the rural financial development and the five aspects of the causes of rural financial supply. In this paper, the development of rural finance can be divided into three stages, drawing out the rural financial system in our country, analyzing the historical reasons of China’s rural financial supply, realistic reasons, the objective and subjective reasons, pointing out the two major problems of the rural financial development. Chapter 3 elaborates the status of agricultural modernization in China, mainly introduces the connotation of agricultural modernization, the development of agricultural modernization and capital requirements of agricultural modernization. The connotation of agricultural modernization includes three aspects: agricultural economic modernization, the modernization of agricultural society and agricultural ecological modernization.The ultimate aim of agricultural modernization is to achieve the sustainable development of agriculture. Description of the current development of China’s agricultural modernization consists of four aspects respectively, for the modernization of agriculture inputs, the output level of agricultural modernization, rural social development level of agricultural modernization and sustainable development level of agricultural modernization. From rural infrastructure, means of agricultural production, agricultural risk prevention, agricultural industrialization development and new rural retail business, those five aspects point out the financial needs of the rural finance in our country agriculture modernization. Chapter 4 is mainly on the influence of the rural finance to the agricultural modernization in China. With normative analysis on the rural financial theory analysis, the influence of the modern agriculture with the empirical analysis on rural finance to empirical analysis on the influence of the agricultural modernization. Chapter 5 views the present situation and problems of the rural financial development, putting forward the deepening of China’s rural financial reform countermeasures and suggestions to promote agricultural modernization, rural financial system reform and innovation in China. which is dedicated to provide some useful suggestions for promoting the development of agricultural modernization.