Research On Credit Poverty Reduction And Its Impact On Farmers' Income

Poverty and low-income people in rural areas are generally concerned by the whole society in China.There is a large income gap between urban and rural areas,and the problem of unbalanced development between the East and the west is still serious.Among the factors that restrict the development of rural areas and the increase of farmers' income,credit capital investment is an important resource factor.In rural areas of China,financing is difficult and expensive,and the financial needs of farmers are not satisfied.Since the reform and opening up,China has always paid attention to financial poverty alleviation.The development experience of credit poverty alleviation is worth summarizing and constantly adjusting and improving in combination with the actual situation.Whether the credit resources have an impact on the income of farmers,what is the degree of impact,what are the main influencing factors,and what are the investment differences and development trends of the credit resources in different rural areas with large differences in regions,environment,etc.,are issues that need further analysis and discussion.Based on the theories of rural financial development,poverty and anti-poverty,factor distribution,regional unbalanced development and credit rationing,this paper reviews the domestic and foreign rural financial supply and demand,the credit of farmers,the relationship between rural finance and farmers' income,and the poverty alleviation of rural financial support industry.By analyzing the experience of rural financial development in the United States,South Korea,Bangladesh and other countries,it is found that developed countries pay more attention to the close relationship between credit of rural financial institutions,cooperatives and farmers,emphasize the role of policy finance and rural cooperative financial system,promote the specialization of cooperatives and promote the development of regional industries;developing countries pay more attention to The goal of the poor group is to improve the self-development ability of the poor farmers,so as to improve the self "hematopoietic" ability of the financial support farmers.The inspiration for rural financial development in China is that rural financial development should not only promote the level of rural industrialization,but also pay attention to the financialneeds of poor farmers,and pay attention to the construction of rural financial system.This paper makes a detailed analysis of the poverty reduction effect of credit supporting farmers from the macro and micro level.At the macro level,based on Cobb Douglas production function,this paper makes a comparative analysis of the impact of formal finance and informal finance on the income difference of farmers.At the micro level,based on the survey data of 100 villages of Chinese Academy of Social Sciences in 2016,this paper empirically analyzes the main influencing factors of farmers' becoming the poor households of filing and card,and makes quantitative analysis on the influencing factors and degree of farmers' income.After the macro and micro analysis,combined with the actual case of regional development,the analysis results are verified and evaluated,so as to more accurately analyze the impact of credit on the growth of farmers' income.On the basis of the above analysis,the following main conclusions are drawn:1.In terms of poverty reduction of formal and informal financial credit,the commercial operation mode of poverty alleviation discount loan is difficult to make poor farmers get the support of discount loan.The widespread popularization of micro credit has expanded the coverage of credit among poor farmers,while informal finance still plays a role in rural areas.The use of credit funds tends to the development of industry and service industry.There are double imbalances in the supply and demand of credit funds in rural areas,and there is still a phenomenon of capital outflow in rural areas.Credit funds can not find an effective investment direction in rural areas,which restricts the development of rural economy.Informal finance is an important supplement to formal finance,but there are still many deficiencies in financial support for extremely poor farmers.2.The relationship between credit and the integration of rural industries is low.Credit itself can not play an independent role in rural areas,especially in poverty-stricken areas.It needs to play a greater role in combination with the characteristics of farmers,regional resource endowment and industrial development.To improve the education level and ensure the health of farmers in rural areas is an important factor for farmers to get rid of poverty.Credit is not enough to support the optimization,upgrading and innovation of agricultural industry chain.3.In terms of the impact of credit on farmers' income,it is not critical for farmers to choose formal finance or informal finance for loans.Non poor farmers are easy to obtain loan support from formal finance,and poor farmers are more likely to obtainloans from informal finance.The relationship between the amount of loans and the ability of farmers to get rid of poverty is not high,but the purpose of loans and the experience of loans have a significant impact on Farmers' income.The positive effect of farmers' borrowing for production is significant.Farmers' demand for loan convenience is not high.Wage income in rural areas has a certain substitution effect on non-agricultural management income,but the increase of wage income can effectively offset the decrease of non-agricultural management income.This will provide empirical support for the development of credit supported industries to drive regional economic growth.4.The effect of cooperation between credit and leading enterprises of agricultural industrialization is significant.The successful practice of credit support for poverty alleviation of agricultural industrialization lies in the leading role of local government,relying on leading enterprises of agricultural industrialization,combining the advantages of local resources and developing agricultural industry according to the logic of market economy.We will refine the division of labor in the industrial chain,let professionals do professional work,do a good job in encouraging and guiding grassroots cadres,and make good use of financial policies to support the development of agriculture,rural areas and farmers.Based on the analysis of the conclusions,the following policy recommendations are put forward:First,clarify the boundary between credit and government.We will increase the reform of the rural financial system,expand the scale of rural formal finance,and standardize the development of rural informal finance.Through the support and endorsement of government credit and bank credit funds,we can leverage more social capital,form an effective interest association with farmers,and form a joint development force to promote the development of rural characteristic industries,so as to make up for the many deficiencies of credit funds in supporting rural development.The formulation of government policy should focus on improving the economic and institutional environment related to industrial development,giving the expectation of market stability and reducing the subsidy incentive of government will.Secondly,strengthen the support of credit to the agricultural industry.Strengthen the financial understanding of the agricultural industry,pay attention to the collection and digitization of information flow and capital flow generated in the process of industrial development,and build a supply chain system based on the complete digitalinformation of the industrial chain.Establish and improve the rural credit evaluation system,enable the agricultural industry chain through Internet technology,and establish a perfect information infrastructure for the application of Finance in the agricultural industry.Strengthen the support of scientific and technological innovation for the development of characteristic agricultural industry.Thirdly,strengthen the support of rural organizations and supporting facilities for credit.The government should actively guide,strengthen the functions and functions of rural cooperatives,and gradually expand the closed-loop Industrial Development Based on rural cooperatives.Financial institutions should strengthen the popularization of financial knowledge,establish a good information communication channel with farmers,and improve their trust in financial institutions.We will improve the relevant systems and supporting measures for the mortgage of the right to the contracted management of land,and protect the rights and interests of financial institutions in dealing with the mortgage of the right to the contracted management of land.Fourthly,strengthen the support of credit to agricultural leading enterprises on the basis of marketization.We will vigorously support leading agricultural enterprises that conform to the laws of market development and promote the development of characteristic agricultural industries.Innovate the interest connection mechanism of government,farmers,agricultural enterprises,cooperatives and financial institutions,strengthen the interest binding of farmers' loans and leading enterprises,match the credit with the agricultural production and operation cycle,and improve the efficiency of supporting agriculture.Pay attention to brand building of agricultural products,optimize product experience,strengthen the role of leading enterprises in brand building of agricultural products,and the government gives policy support and credit preference.