Study On Developing Finance's Contribution To Building New Rural Communities

Building a new socialist countryside is a significant task of the party and country at present. It is a complicated and arduous historical task and a long-term project related to infrastructure, agricultural industrialization, education, health care, insurance and other aspects, and needs for a huge demand of funds. However, the huge rural development funding demand cannot rely on the government funds only. The problems of building a new countryside is not just the issue of funding. The key is to build a healthy financial system, that is to establish a long-term mechanism of funding cycle for the new countryside building, in order to solve the deep problems such as market gaps, defects and institutional drawbacks, so that the rural development could going into the track circled decently.Development finance is the new stage of policy finance development, the basic contents of which is the financing will not only support economic development, but also promote the development of market and system construction, that is, the project constructions directly service the economic development, and combine the advantages of both financing and the government organization, in order to promote and accelerate the establishment of the whole system. As a member of the rural financial system, development finance has unparalleled advantages on breaking financing "bottleneck", making up the defects of the market, building the financing platform, and eliminating the risk of financing. Therefore, the research on how the development finance to support and promote the new rural development has marked and practical meanings.In this paper, based on the in-depth analysis of the current financing demand and supply, we explored the problems that exist in China's new countryside construction. Through analysis, we believe that the issue of China's rural financial inhibition is mainly the supply-side financial repression, that is the problems of insufficient financing supply, capital outflows, the presence of market defects and insurance imperfections. Thus, we point out that China's new rural development needs the support of development finance . On this basis, we deeply analyzed the operation of the development finance models, explored how the development finance to support and promote the new rural construction, and proposed the strategy recommendations for development finance to support China's new countryside construction.