Research On Rural Financial Service System Innovation And Risk-control

Whether it is reformed agriculture commercial bank, set up the Agricultural Development Bank, or spin-off non-performing assets of rural credit cooperatives, China's rural financial reform can be said that was the business restructured by government-led institutions. This large injection of country-driven approach to reform, it still can't get the effect. The rural financial market is still facing severe credit rationing, and rural financial service system is still unable to meet the needs of rural economic development. In this regard, this paper studied on innovation and risk-control the content of the rural financial service system, by using game theory and performance evaluation tools. Study basic conclusions are as follows:First of all, source of rural financial service system can't meet the market demand is commercial business purpose and policy conflicts with the development requirements. Throughout rural financial services market, in addition to Agricultural Development Bank is a policy-oriented financial institutions, which is playing a policy role in supporting agriculture. The other financial institutions are commercial financial institutions, which is in order to achieve the maximum profit. As the rural risk and a small returning rural market, commercial financial institutions choose the more matches the large and medium rural enterprises, resulting in a large number of financial groups with special needs can't be met. It's easy to find that local government control rural credit cooperatives to meet the policy needs, and this means of implementation has resulted in rural distortions in the financial services system.Secondly, informal finance is in the natural advantages of access to information to a certain extent, which could fill the gaps in the formal financial services. Informal finance is "Endogenous Financial",has natural information advantage can provide can't provide formal financial services by long-term roots in the rural countryside. We can clearly see that both enterprises and individuals in a market economy conditions are rational. Affect the borrower's behavior the most critical factor is the balance between costs and benefits. If the borrower can't borrow from the formal financial, or the borrowing cost is too high (the cost of borrowing procedures, time, cost, etc.), it will turn informal finance for help.Thirdly, the issue of rural financial service system is not only for the financial supply shortage, but also outstanding performance as ineffective in Chongqing. It found that only few of rural financial institutions to achieve operational efficiency, the vast number of commercial rural financial network to demonstrate a purely technical null and void, through examine the rural financial service system. It means that the commercial rural financial difficult to achieve optimum efficiency, policy finance is under controlling, missing is the efficiencies of scale. From this view, play the role of financial support for agriculture in rural areas need to be resolved first of all a commercial operation and management of rural financial institutions, as well as to break the shackles of policy-oriented financial executive.Fourthly, improving the efficiency of rural financial services is to meet the inherent requirements of rural economic development is very important at the present stage in Chongqing.Improve the efficiency of the means of rural policy should not be mandatory under the government control. It needs rural financial service system innovation, and should be based on market-oriented and coordinated development, improve the financial efficiency and to meet the principles of macro-control. There are too many ways, as through the support of village banks,the establishment of land banks to cultivate new-type rural financial institutions, from financial services to innovate on the main body;innovation in credit guarantees, to improve the credit guarantee, the opening of consumer finance, the reform of interest rate mechanism, the establishment of rural financial link system, etc..Last, it needs to establish effective risk control system, protection of rural financial service system in Chongqing security urgently. The four characteristics of the rural financial market risk are objectivity, diffusion, acceleration and relevance. It determines the rural financial service system in Chongqing memory in the inevitable. Take Chongqing rural financial data for example, the greatest efforts of the Agricultural Bank of Agriculture, Rural Commercial Bank and Agricultural Development Banks certain risks exist, it is fortunate that from the quota of total control, flow indicators, safety and efficiency class indicator categories of indicators to analyze four types. At present these risks are manageable. To improve the overall security of the rural financial service system not only needs to improve risk control mechanisms, risk birth and development of all-round prevention.