Measurement Of The Level Of Inclusive Financial System And Its Determinants In Henan Province

It’s important to put forward financial reform and enhance the level of financial services. In recent years, to improve rural financial service and advance the rural finance reform, our provincial governments have launched more and more policies and measurements, and financial institutions have made stride in financial innovation.A phase inclusive finance was put forward and gaining ground, and surrounding this subject, foreign and domestic researchers have studied lots of theories. About the measurements of inclusive finance, researchers attempted many approaches and did not reach agreement. So far, there are relatively less theoretical and empirical research about inclusive finance level of each county and city. This paper talks from the micro aspects, and solves the measurements and influential factors of 108 counties and cities’ inclusive finance level of Henan Province.Firstly, to measure the inclusive finance level of 108 counties and cities of Henan Province, this paper adopts four dimensions which include seven statistic indexes, banking penetration, availability of banking services, usage and barriers. From the measurement, two main conclusions were brought forth. First, the inclusive finance level of most counties and cities of Henan Province is very low. Second, different counties and cities have different inclusive finance indexes.Secondly, to analyze the influential factors of 108 counties and cities’ inclusive finance level of Henan Province, this paper adopt ten variables such as economy development level and urbanization level, build models through different representative indicators and reach a conclusion that five explanatory variables which are urbanization level, employment, medical conditions, social security level and saving rate have appreciable effects on the inclusive finance level.At the end of this article, personal opinions about enhancing the level of financial services were put forward.