Choice Of Mode Of China's Rural Credit Cooperatives Reform

On the basis of reviews of reform history of rural credit cooperatives briefly and analysis to its current situation carefully, this article draws a conclusion that there are mainly three questions of rural credit cooperatives at present, which are indistinct property right, indeterminate market orientation and high proportion of non-performing assets. At the situation that other financial institutions of countryside reducing the agency, dwindling the range to support agriculture progressively, it is very essential and urgent to reform the rural credit cooperatives. There are three kinds of modes mainly in the pilot course of reform of rural credit cooperatives, which are standardizing the rural credit cooperatives, setting up rural cooperative bank and setting up rural commercial bank. Through analysis to pros and cons of each mode in detail and study to some successful cases of them, this article lays the foundation for the correct choice of mode that the rural credit cooperatives reform in the whole countryside. According to .Hugh T. Patrick's theory of "demand-following" and "supply-leading" on the relation between economy and finance, and based on the experience of cooperative finance development in some other countries, this article finally comes to the conclusion that the choice of reform mode should take the characteristics of economic development and rural credit cooperatives' different level of different rural areas into consideration. To be specific, to set up rural commercial bank in the eastern developed rural area; to try share cooperation in the middle part where the economic development level is general; to keep cooperation in the area that traditional planting and feeding occupy absolute proportion and the poor areas of the west, and in these poor areas cooperation should be rigorously enforced in order to set up real cooperative financial institution. At the same time, this article analyses some related issues in order to guarantee the reform of rural cooperatives smoothly.This article includes six parts: foreword, the development course of the rural credit cooperatives and its current situation, the analysis of our rural credit cooperatives mode of reform , the development experience of foreign cooperative financial institution, the choice of our rural credit cooperatives' reform mode, conclusion.