Legal Issues On Non-Governmental Financial Supervision In China's Rural Areas

There are a number of various forms of financial crisis, in the financial globalization, has taken place in the world, which resulted in damage of various degrees for the normal operation and development of the world's economy and the international finance. Now, as the world's economy becomes internationalization, globalization and integration, in particular the integration trend of the international financial markets is increasingly significant, any financial crisis could trigger a chain reaction. The impact of the new round of financial crisis which sparked by the U.S. sub-loan crisis in recent is far-reaching, and the world's economy, including China's, has affected to various extents. Faced with the serious financial crisis, the governments, in particular some developed countries such as the United States, Europe and Japan, have taken various measures to save financial sector in their countries. The Chinese government issued a series of macro-adjustment and control measures as well, such as investing 4000 billions RMB funds to expand the domestic demand and the Ministry of Finance cut hundreds of billions tax. However, the phenomenon of shortage of funds may be eased temporarily, but it is still unable to meet the long-term needs of the economy. Particularly in rural areas, the extremely active of the non-governmental finance increases unstable factors for the whole financial system, and the key of which how to co-ordinate the relationship between the financial security and financial efficiency is to master the value of the rural non-governmental financial supervision.To strengthen the supervision of rural non-governmental finance, this study is based on the reference of the experience in the legal system of the rural non-governmental financial supervision from the relevant countries and regions, taken the law as the main perspective, and supplemented by other disciplines such as economics to the study of theory and practice. First of all, this study is sort out the theoretical basis of the rural non-governmental financial supervision. In the law aspect, the theory of Financial development, the theory of the unification of the financial security and efficiency and the theory of the unification of the financial freedom and order are used; and in the economics aspect, it is used the theory of financial externality, the theory of government interference, the theory of information asymmetry. From the dual perspective of the law and economics, the paper analyses systematically the issues of the rural non-governmental financial supervision, which provides a theoretical basis for studying the legal countermeasures of the current rural non-governmental financial supervision in our country.Secondly, the paper is to study the history of the system of the rural non-governmental financial supervision in our country and the problems which is exists: its history is divided into four stages such as the stage of exclusive stagnation, over-control stage, the stage of gradually opening up and the stage of standardizing guidance; the analysis of the problems which is exists is consist of the main body and the object of the supervision are not clear, the market entry and the market exit are confused, the system of the financial risk prevention is lacks, the supervision responsibility and the system of relief are lack.Thirdly, the paper is to study the legal system of the rural non-governmental financial supervision of typical countries and regions. Through the investigation of the status of the rural non-governmental financial supervision in the developed countries such as the United States, Japan and Germany, the developing countries such as India, Bangladesh and South Korea, as well as the region of Taiwan, through the comparison and analysis of the commonness and differences of the rural non-governmental financial legal supervision in different countries and regions, it is provide some experiences and references to China. And the experiences are following: clear the legal status of the rural non-governmental finance, perfect relevant laws and regulations in our country and adhere to the ideology of "appropriate supervision and deregulation"Finally, the supervision ideas, the supervision objectives and the supervision principles of China's rural non-governmental finance should be established firstly as the legal system of China's rural non-governmental financial supervision is constructed. It is should be targeted at the characters of the development of the rural non-governmental finance, when choose the mode of the rural non-governmental financial supervision in our country, to build a trinity supervision system, that is, the external supervision of the government, the self-regulation of the rural non-governmental financial industry, the own management system of the rural non-governmental financial organization. The construction of the specific legal system of China's rural non-governmental financial supervision includes: the legal system of the main body of the supervision, the legal system of the supervision subjects, the legal system of the market entry, the legal system of the market exit, the legal system of the information disclosure, the legal system of the risk prevention, the legal system of the supervision responsibility and the legal system of the relief.To ensure the healthy and sustainable development of the rural non-governmental finance, it is hoped that this paper could provide reference to the legislation and enforcement of relevant government departments.