Research On Regional Difference Beteween Guangdong And Guangxi:the Relationeship Between Finance And Urbanization

Based on financial theory and urban development related theory as a foundation, combined between finance and the urbanization of the inherent development mechanism and periodical characteristics, the paper focuses on Guangdong and Guangxi of China finance and urbanization difference in correlation research. Through measurement method, the quantitative analysis of the correlation between the scale and quality of the urbanization and the scale, efficiency and the structure of the finance is involved, and finally the main conclusions is obtained as followed:In Guangdong, it shows trend of finance promoting to the development of urbanization. the force of urbanization to finance is insufficient and urbanization process that needs the financial resource, financial feedback speed is slow, need the support of financial reform and innovation. However, the developing trend of Guangxi is urbanization promoting to financial development. The promotion of financial efficiency can be feedback to the urbanization, forming a virtuous circle and expand the scale of financial can promote the development of urbanization, the structure of urbanization effect. Guangxi presents the trend that urbanization need to upgrade the comprehensive financial support but also the needs of urbanization financial institutions for financial resources to quickly respond to. The two are at different stages of development and the interactive mechanism between financial and urbanization is significant different. It would be In accordance with the their own Present situation to make different development strategies. Suggestions of Guangdong, through the improvement of financial macro-control, solves regional co-ordination to promote the optimization of the province’s financial structure, avoiding because of the substantial inflow of funds into the Pearl River Delta resulted in waste of financial resources. On the other hand, urbanization process the of Guangdong Development is not sustainable and the residents is lack of social security. It should enhance the efficiency of regional financial service industry, improve securities system of the bank and insurance. Suggest on development of scale merger quality in Guangxi. The interactive relationship between the process of urbanization and good financial should base on the development of industrialization. The bank should do the right things to be the lead role of industry, and improve the quality of the use of financial resources of some big cities and the small towns should be appropriate to the scale of investment to realize the regional coordinated development. It should expand the scale of capital market, for example, focus on the development of the stock market and bond market financing to broad the financing channels and also could attract external financial resources to fill the demand.