Path Of Inclusive Rural Financial System Construction

Finance plays a key role of capital elements allocating in the development ofrural economy.Our country is a developing country, the peasant is a main part of poorand vulnerable groups, their problems are always concerned by the goverment, but atpresent, a large part of the rural low-income groups are excluded from formalfinancial services,the insufficiency of capital resourse restricts the development ofrural economy in China. Farmers lack of financial awareness, financial institutionsthink more for profitability considerations than in ruralareas, rural financialinfrastructure is insufficient are the reasons why rural finance development imbalance.The concept of Inclusive financial originated in the United Nations in2005,theinternational year of microfinance, its purpose is building a financial system for thelow income and poor tolerance, to make this the group can also enjoy thedevelopment of economic and social progress. Inclusive financial has a differentmeaning to our country, this concept has changed the past simple inertial for povertyalleviation, assistance to poor people and business sustainability can be combinedtogether. But it should be pointed out that, Inclusive financial system is not onlyprovide savings, insurance, financial products and services for the majority of low andmiddle-income groups, such as credit and trust, but also an integral part of a nationalfinancial system, building inclusive financial system is not only emphasized theinnovation of financial products or financial institutions, but also should be morefocus on how to integrate the dispersed financial resources for an organic whole.At present, the rural financial services supply shortage, severely restricts theeconomic development of China’s rural areas. Constraints the rural finance situationin China, author thinks that building a system of conclusive financial nationaldevelopment fund, launched by the people’s bank of China, the China bankingregulatory commission, securities regulatory commission and the insurance regulatorycommission, led by the provincial public finance, after establishment of conclusivefinancial development fund at the provincial level, through policy guidance in each big commercial Banks to the conclusive development fund, an injection of new fundsevery year to participate in the universality and the rural financial service of the newtype of rural financial institutions to filter, select high security of the new type of ruralfinancial institutions capital injection and coordinated rural financial managementdepartment of each fund compliance regulation the universality of rural financialinstitutions. This approach would solve the problem of the new type of rural financialinstitutions capital source and large commercial Banks support problems ofagriculture, rural areas and farmers lack of enthusiasm. Finally, establish and improvethe universality of rural financial system need from the regulatory framework, legal,fiscal and taxation support, overall consideration, realize the sustainable developmentof pratt&whitney financial, attaches great importance to the pratt&Whitney returnsand risk control of financial institutions, establish corresponding risk control system,realize the sharing of the universality of the financial system, for our country’seconomic construction and social development to provide comprehensive financialsupport.