Study On The Operating Efficiency Of Agricultural Policy Bank

As only an agricultural policy bank in China, Agricultural Development Bank of China, from its inception in 1994, played a special role in implementing the Government's intention, supporting agricultural development, controlling capital investment. In order to improve the function configuration of Agricultural Development Bank, and give better capital support to agriculture and increase overall rural financial operating efficiency, first of all, we need a comprehensive and objective evaluation of the operational efficiency of Agricultural Development Bank in more than 10 years as well as the influencing factors. From two perspectives, microeconomic operating efficiency and macroeconomic benefits, using the research methods such as financial analysis and mathematical model measurement method, this paper will study and analyze the operating efficiency of Agricultural Development Bank. This paper will select Xinghua City in Jiangsu Province as a positive case, which as a major grain-producing county in Jiangsu Province and the overall country. As an evidence sample, Xinghua City have certain representative and can basically reflect the above issues. The full text includes six parts:Chapter 1 introduces the research background, purpose and significance of topics, domestic and foreign literature review, contents and methods of this study.The second chapter we will elaborate the theoretical basis on agricultural political finance. Such as the contents and functions of agricultural political finance, the operating mechanism of Agricultural Development Bank, as well as the financial efficiency theory.Chapter 3 mainly analyzes the operating environment and the status quo of Agricultural Development Bank in Xinghua City. First we analyze the operating environment such as the agricultural economy and the development of rural finance, and then we study their own operating funding status.Chapter 4 researches and analyzes the operation efficiency of Agricultural Development Bank in Xinghua City. First we evaluate operating efficiency through its micro-financial indicators, which include the profitability indicators: net interest yield (NIM), Return on Assets (ROA), the net profit rate (PM), asset utilization (AU), Return on Equity (ROE), as well as the risk indicators: the rate of nonperforming loans and interest recovery. Then we use Johansen co-integration test to test the the existence of a long-term equilibrium relationship between policy loans of Agricultural Development Bank and agricultural output and agricultural income of rural residents, and then use Granger causality test to test the short-term causal relationship.Chapter 5 summed up the external factors and internal factors impacting the operating efficiency of Agricultural Development Bank. The external factor is socio-economic environment; the internal factors include system, positioning and operational mechanism functions.Chapter 6 contents conclusions and policy recommendations. According to the analysis of the former, this chapter proposed the recommendations to increase its operating efficiency of Agricultural Development Bank. Such as optimization of the socio-economic environment of the Agricultural Development Bank, strengthening legislation and supervision, improving functions and expanding their business, improve their internal operational mechanism and so on.