Case Study Of Rural Financial Reform In Guangxi TianDong

After decades of development, Chinese rural finance has turned to a new situation in due course and our country’ rural financial development has entered a new stage by these trials of comprehensive rural reform represented by Guangxi Tiandong. This paper based on Tiandong financial reform conclude all the reform measures in recent years those could be summarized as:First, built a rural financial service platform; Second, complete the rural financial organization system; Third, innovated rural financial products and services; Fourth, increased the fiscal and taxation support, enhanced organization support and motivation; Fifth, constructed the model of rural finance credit system; Sixth, raised farmers’ financial consciousness, optimize the financial ecological environment. After four years of reform, Tiandong has obtained the good achievement both on financial development and economic growth:financial organization system constantly improved, kinds of institutions increased dramatically, financial products and services continuous innovated, farmers’ financial awareness improved a lot. Loans scale increased and nowadays it can better meet the credit needs from households and small and medium-sized enterprises, thus promote leapfrog growth of TianDong GDP, the incomes of urban and rural residents increased dramatically, the gap between urban and rural areas narrowed to a certain extent.However, there still some troubles behind the brilliant achievements. For instance, agricultural business lack of appeal to financial institutions, financial reform costs too much, these problem will influence the further development of rural finance, it has both natural defects existing in the agriculture business itself, there are administrative system and mechanism caused by the block. Want to through the bottleneck and solve problems, we must insist the principle of seeking truth from facts, then adjust part of the reform policies. Promote professional agriculture as the focus, reduce agricultural business risks, strengthen institutions internal support power, with the improvement of rural financial ecological environment, weaken the administration systems and mechanisms for rural financial development will bring adverse effect, to form good cycle of "financial development and economic growth".