Research On The Development Of Rural Credit Cooperatives In Jilin Province From The Perspective Of Financial Function

With the continuous improvement of the level of economic development, financeplays a more important role in the economic operation. At present, as the core ofmodern economy，finance is the blood of the whole process of economic operation.However, in the development process of China’s rural economy, due to influence ofthe factors of the national macroeconomic policies and agricultural, the developmentof rural finance was slowly. Therefore, the functional financial needs of microeconomic agents aren’t met. As an important part of the rural financial system, ruralcredit cooperatives are the main force in the provision of financial services for ruraleconomic entities. Therefore, to increase the income of rural economic agents,improve the production efficiency of the rural economy and promote the developmentof rural economy, there is of great significance by accelerating the development of therural credit cooperatives. Jilin Province is a big agriculture province as well as lowper capital income of rural residents and relative backwardness of rural economicdevelopment. Therefore, to accelerate the pace of reform and development of ruralcredit cooperatives in Jilin Province, promote its functioning, meet the functionalfinancial needs of the majority of economic agents, there will be helpful to acceleratethe adjustment of rural economic structure in Jilin Province, improve the productivitylevel of the rural economy, increase farmers’ income, and promote the construction ofnew rural. But throughout the development of rural credit cooperatives, we found thatunder the reform ideas of concept of financial institutions, its objective of reformgradually deviated and function alienation phenomenon is serious, therefore, ruralcredit cooperatives must change the idea of reform.Based on this reason, this paper follows the analyze ideas of financial function,using the knowledge of agricultural economics, finance, new institutional economics and other related disciplines, from macro and micro levels, adopting the method oftheoretical analysis and empirical analysis, logical analysis and historical analysis,firstly analyzes the situation of rural economy development, the functional financialneeds of micro economic agents in Jilin Province as well as the development situationof Jilin Province rural credit cooperatives; then analyzes the presence of functionaldefects and the cause of functional defects; finally puts forward the countermeasuresof development. Specifically, this paper is divided into the following sections.The first part mainly elaborates the external environment that Jilin ProvinceRural Credit Cooperatives functioning depends on. Through the study of existingliterature, we find that many scholars of research on rural credit cooperatives aren’tsystem consider the situation of rural economy development and the functionalfinancial needs of micro economic agents. Thus resulted in the function alienation ofrural credit cooperatives in the reform process is more serious. According to the viewof financial function analysis methods, the part mainly analyzes the trend of ruraleconomy development and the functional financial needs of micro economic agents.The second part mainly elaborated the development course of rural creditcooperatives in Jilin Province and function implementation status. By reviewing thedevelopment course of rural credit cooperatives in Jilin Province, analyzing functionevolution status, and empirical analyzing the relationship of rural credit cooperativesand rural economic growth, we find that Jilin Province Rural Credit Cooperatives playan important role in promoting rural economic development, but the development ofrural credit cooperatives are not synchronized with the development of rural economy,the functional financial needs of micro economic agents aren’t being met.The third part mainly analyzes the functional defects as well as the underlyingcause for rural credit cooperatives in Jilin Province. Through the analysis of thedevelopment situation of rural credit cooperatives in Jilin Province, we find that ruralcredit cooperatives are still more obvious functional defects, such as the defects ofintermediary services functional, the defects of resource allocation function, thedefects of macro-control function. And in-depth analysis, the main reasons are weakfinancial ecological environment in rural areas, lack of the innovation of the rural credit cooperatives and poor risk management system.The fourth part mainly puts forward counter measures aimed at the cause offunctional defects. That is, from improving the financial ecological environment,deepening the internal reform of rural credit cooperatives, and the establishment ofmulti-level risk management system in three aspects put forward the developmentcountermeasures of rural credit cooperatives.