The Research On Financial Support To County Economic Development In Less Developed Area

The relationships between Finance and Economic Development were traced back to the beginning of last century. Modern economic growth theories agreed that Finance is an important determinant of economic growth, the economic development have a close contact with the financial support. China is a developing country, and the economy development is unbalanced in regions, Promoting the coordinated development of regional economy has become the strategic emphasis in recent years. County economy is a basic unit of the national economy, the County economy development is closely influence on the harmonious development of the urban and rural in less developed areas, and influence on strategy of economy coordinated development in region of China. But in the less developed regions, the county finance service function is weak, and the contradiction of County financial supply and demand is very prominent. How to increase financial support for the development of County economy in less developed areas, to improve inadequate financial supply of county in less developed areas, to promote the development of county economy in less developed areas, have become an important research topic on harmonious development of the urban and rural and coordinated development in regions.This article is based on the theory of relationship between financial development and economic growth, using the combination of case analysis and comparative study methods, taking Guangxi as an example, analysing present situation of financial support for County economy development in less developed areas. The problems and the causes of financial support in the development of County economy in underdeveloped areas is summarized. Then, this article describes the practices of the United States, and Japan, and India, and Brazil and other countries in financial support to less developed district economy development, summarizes the experiences of these countries and its enlightenment. On this basis, this article proposed a series of policy recommendations to promote financial support to County economy development in less developed areas, including:constructing diversified financial institution in the county system; strengthening innovation of County financial products and services; perfection of County financial market and broaden the financing channels for the County; strengthening the construction of supporting system, optimization of County financial market environment in underdeveloped areas.This article is divided into six parts:introduction, the theoretical basis of financial support in the development of County economy in less developed areas, investigation of financial support of County economy development in less developed areas, financial support in the development of County economy in less developed areas and the cause of the problem analysis, the international experience and enlightenment of financial support for economic development in less developed areas, policy and recommendations of finance supporting development of County economy in less developed areas.