Empirical Research On The Rural Finance Efficiency Of Heilongjiang Province

China is a large agricultural country."Three Rural Issues" influences China’s economic andsocial stability as well as development and modernization process. As the core of modern economy,the finance determines to a large extent the speed and efficiency of economic development. Thefinance supports the development of rural economy, rural urbanization and the increase of farmers’income. Rural finance is an important part of the modern financial system and is playing anirreplaceable role in the development of rural economy and promotion of rural modernization.With the relaxation of rural financial market access mechanism, a lot of new financialinstitutions and organizations continuously appear, such as loan companies, village banks and ruralcredit union funds. They promote the development of rural finance. However, rural financialdevelopment not only requires the input of financial resources, but also requires the promotion ofrural financial efficiency. In a market economy, financial efficiency plays a key role in thedevelopment of finance. Rural financial efficiency is an important factor for the development ofmodern agriculture. It can also be a representative of the rural financial development indicators.After the reform of China’s rural finance, financial resources supply in rural areas is stillinsufficient because of the process of economic development in rural areas and profit-driven funds.The rural funding "non-farm" phenomenon is still serious. Meanwhile, the rural outflow of capitalis worth of serious consideration. They limit the development of the rural economy. The farmers’income grows slowly, as well as the financial support for agriculture is short.The efficiency of rural financial issues greatly influences the growth of rural economy andfarmers’ income, which draws a lot of scholars’ attention. This paper analyzed the rural financialefficiency of Heilongjiang Province based on the theory of financial development and rural finance.Factor analysis was carried out to obtain the trend of rural financial efficiency and multipleregression analysis was conducted to show the efficiency of rural finance in Heilongjiang Province.Finally, the author summarized the empirical results, found the restraining factors of rural financialefficiency in Heilongjiang Province and proposed the ideas and ways to improve the efficiency ofrural finance by analyzing the empirical results.