Research On Financial Supporting Of Development Of Rural Economic In China

As a large nation of agricultural, agricultural and the rural economy development is very important to economy.Since long ago, the agriculture has madethe tremendous contribution for the national economy development.Since entering thenew stage of development of agriculture and rural economy at the end of 20 century, the strategic adjustment of agriculture and the rural economy structure has become the central task of agricultural and the rural economy.The rural economy developmentneeds massive fund accumulation and investment which cannot live without supportfrom finance.Based on the theory of financial development as well as the relationship between financial development and economic growth after analyzing the progress of China rural finance development, this paper has researched the financial repressions in rural areas.These repressions are:financial dualism structure;malformed financial system.inco-mplete financial market;constrained interest rate.Positive analyses show that rural financial development plays a week and limited pole in the rural economic growth, whatever capital source or utilization. This confirms the existence of rural finance suppression further.In this foundation, the thesis analyzes the problem about our country's ruralfinance support economy development, and propose four policy suggestions as followed: build a new rural financial system;relax the market access limit to cultivate the rural finance competitive market;establish withdrawal mechanism to strengthen the market restraint to ruralfinance organization.This paper consists of five chapters, which are preface, theory of financialdeve lopment and economic growth, analyzing of rural financial repression, positive analyses of relationship between rural financial development and rural economic growth, progress of the deepening finance and conclusions.