The XX Bank’s Idea Of Expanding Rural Financial Market

Since the reform and opening up, China’s rural financial market has been rapid development, but relative to the entire system, is still the weakest link. How to solve the supply and demand of the rural financial market services imbalances, perfect to ensure the soundness of the entire financial services has been the focus of people from all walks of life in the community. In December2006, the State Council relaxed rural financial services market access conditions, in order to mobilize the large commercial banks and other major financial institutions to focus on rural of financial markets, and then carry out the corresponding service, increase the supply of rural markets. Effective mitigation of the initiatives in the period of time the rural financial market is relatively tight supply situation, but some problems appeared:Today, the main supply of rural financial institutions in rural credit cooperatives to inadequate commercial banks to enter the rural financial market concerns, has failed to effectively address the insufficient supply of the status quo, and very single entry mode choice, not a good implementation and complete the docking of the existing financial institutions such as rural cooperatives; addition, the commercial banks to set up branches in sustainable development on earnings management are not optimistic about the prospects in business decision-making and positioning must access. Stage of the foreign banks to set up rural banks and implementation of SME loans only to explore, you can not play a huge role in promoting.This article first details combing rural financial theory, expounded Recently theoretical development. At the same time, a review of the course of development of China’s rural financial market, summed up the experience accumulated in the development and existing problems. Accordingly, SWOT theory as a framework, a detailed analysis of the XX banks in expanding rural financial markets have their own advantages and shortcomings, pointed out at this stage to face the opportunities and threats, and accordingly proposed XX Bank related to the development of the rural financial market policy recommendations, its entry and open rural areas to enter the market to provide the the theoretical protection and effective basis.