A Study On Development Of Chinese Rural Cooperative Finance In New Era

In the 21^st century, with the market economy development and the economic system reform, rural finance plays more and more important role in rural economics. The perfection and function of rural financial system concern closely rural economic development and the well-to-do sociality objective.Rural cooperative finance is an important part of rural finance, and the representative organization is rural credit union. In China, rural cooperative finance has been developing for more than 80 years, and becomes the principal force of rural finance at present. It plays necessary role in prompting rural economic development. However, some problems that perplex rural credit union are obvious, especially in respect of cooperative features, institution achievement, manage benefit, and so on. These problems not only hinder the development of rural credit union itself, but also affect the functions of rural cooperative finance.In light of the above-mentioned background, this paper considers rural credit union as the study objective, applies economics, finance and other theories, and adopts comparative methods, historical-fact analysis and so on, to expound the implication and features. Besides, the author points out that new implication of cooperative finance should be defined in new era. Based on the summation of successful lessons and patterns of foreign cooperative finance, and considering Chinese rural economics, social development state and rural financial demand, this paper analyzes the realistic necessity, the pattern and the measures feasibility to develop rural cooperative finance in China.The key to the paper is the forth and the fifth section. The former elaborates the present condition of cooperative finance organization,such as rural credit union, mutual association, by combining qualitative analysis with quantitative analysis, and concludes that Chinese present rural cooperative finance develops so unreasonably that it can't satisfy the demand of rural economics. The latter, based on Chinese rural state, puts forward three creative measures to perfect Chinese rural cooperative finance as the following. First, rebuilding rural credit union; second, standardizing and developing informal cooperative finance; third, establishing characteristic rural cooperative finance. At the meantime, two principles should be followed when they choose a pattern. On one hand, it should be chosen in light of local economic development; on the other hand, it should be in light of the present reform achievement of rural credit union.Lastly, this paper analyzes the necessity to construct comfortably outside environment for the development of Chinese rural cooperative finance, especially in respect of favorable policy from government, perfect legislation and effective financial supervision.