The Study Of The Measuers To The Rural Finance Deepening In Jilin Province

As the core of the rural economy, rural finance is is inseparable from the strong financial support to build a new socialist countryside and to promote the agricultural and rural economic to develop better and faster. However, the rural finance of Jilin Province has have serious financial restraint for a long time:imperfect rural financial organizations, state-owned commercial banks merge branches below the county, poor-quality assets of rural credit cooperatives, the Agricultural Development Bank cut the policy support for agriculture business, the postal savings in rural areas only have lending functions without deposits. These problems led a large number of rural funds go to the cities; it is hard for farmers to obtain loans from the formal financial sector. The active private financial increase the financial risks in rural areas. These problems seriously restrict the continued rapid growth of the rural economy and the pace of building new socialist countryside. So, it is an urgent need for further rural financial deepening. The Party's Third Plenary Session put forward:"establish a modern rural financial system, innovat a rural financial system, accelerate the establishment of rural financial system with combined commercial finance, cooperative finance, financial policy,and with adequate capital, sound functions, perfect service and the safe operation, and then that can lead more credit funds and social funds into rural areas." It further illustrates the importance of rural financial deepening.Firstly, this paper expands the general concept of rural financial deepening and development of rural finance theory in order to understand the specific meaning of rural financial deepening and related theories. Then the degree of financial deepening in rural areas of Jilin Province is analyzed. That is to say, it qualitatively analysis from two aspects of Jilin Province's rural financial reform process and the status of rural financial development. Then by consulting relevant literature and the Statistical Yearbook of Jilin Province, it goes on quantitative analysis and performance analysis of rural financial deepening in Jilin Province for the reasons for the further deepening of rural financial:the financial inhibited the development of rural finance as a constraint to the "bottleneck"; the reform of rural credit cooperatives is not deep enough, and that constraints the role of agriculture; the functions division of political finance and commercial finance is not clear; the coverage of political banks for agriculture is too narrow; that the household loans are difficult restricts the development of agriculture; there are lots of difficulties in the operation of agricultural insurance. Subsequently, this paper learns from foreign experience in the development of rural finance, and work out the specific measures to financial deepening in rural areas of Jilin Province:to deepen the reform of rural credit cooperatives; to make the Agricultural Development Bank further support the agriculture; the government should increace the support for the Agricultural Bank and other commercial financial institutions; to strengthen the function of postal savings funds to nurture and strengthen the function of the regulation and guide of the folk financial; actively to develop new types of rural financial organizations; to strengthen the coordination and cooperation of rural financial organizations; to establish agricultural insurance system and improve the agricultural insurance system; to make the use right of the rural land into the credit guarantee system.