The Analysis Of The Financial Development Of China's Minority Region Based On The Angle Of Supply And Demand

There are many ethnic minority areas in China, and the economic development mainly depends on agriculture. Well agriculture in ethnic regions as an important and special sector, which on one hand is the basis of ethnic economy and is responsible for the development of the national economy, on the other hand, it is subject to nature conditions and is constrained of the production cycle, and it develops very slow and belongs to the lower and weak industry. These years, the"three dimensional rural"issue in the forefront of economic development, caused by a high degree of attention. Recently, on the fourth meeting of the Eleventh National People's Congress, Premier Wen Jiabao once again said: in crease the inputs of"three dimensional rural", continue to strengthen the subsidies to farmers and large professional cooperation. From this we can see, that in solving the bottleneck problem of the agricultural development, Chinese government pay much attention to the financial reform and development.This thesis takes the Enshi Tujia and Miao Autonomous Prefecture for example, according to the questionnaire survey from local financial institutes, such as Banking Bureau, Agriculture Bank of China, Rural Credit Cooperatives etc. we found that there has been great contradiction between financial supply and demand. Individual businesses need to expand the production scale; general farmers need agriculture reproduction; the poorer need to solve the problems of living expenses. To solve these problems, it needs many funds to operate. However, financial institutions such as Agricultural Bank of China and Rural Credit Cooperatives are insufficient supply of funds. These financial institutions mainly lend loans to those who have good reputation and own large businesses, but cannot solve the large scale of financial needs. The contradiction of supply and demand forms a complex situation. There are many reasons: from financial supply aspect, credit constraints is the main reason, financial institutions cannot fully play the role to support agriculture because of lacking investment funds; from financial demand aspect, confined by its financial resources, low income, loan problem, poor credit constrained farmers to take loans, simultaneously, the needs of individual businesses and leading enterprises are diversity, single supply mode cannot match the diverse needs. Besides, the financial environment of Enshi area is unsound, and agricultural credit guarantee system is imperfect, large scale of capital outflows, the coverage of financial institutions are inadequate, these reasons are all restrict the development of ethical regional finance. How to solve the problems of supply and demand of rural finance in Ethnic Areas, and establish a sound rural financial service system, and let the rural finance provides more convenient to the people are important and practical work that we face. According to the analysis of the financial supply and demand in ethnic areas, this thesis concluded that to improve the environment of ethnic finance first should solve the credit constraints. Perfect the microfinance-oriented rural financial system; enhance the banking sector reform in minority areas; strengthen the financial regulatory services; improve rural financial and economic compensation mechanism...