Analysis Of Farmers’ Financing Preference And Its Influence Factors

With the continuous advancement of the New Rural Construction, agricultural modernization and urbanization, the phenomenon of fund shortage exists in farmers’ production and operation. Accompanied by farmers’increasing demand for financing loan, the supply subject of the rural finance is too slim, the rural financial suppression is becoming increasingly serious. The shortage of fund seriously restricts the development of rural and agricultural economy and the improvement of the farmers’ income level. Under this financing system, the farmers’ financing needs cannot be well met. Therefore, in order to promote the development of "agriculture, countryside and farmers issue", farmers’ household financing mechanisms will be the top priority to be built to fit the current development status of China’s rural society, meet the demand for funds in rural areas, solve the current problems of the financing difficulties faced by farmers.This paper bases on the traditional farmers. And through the micro analysis of farmers’ financing preference, to analyses the characteristics of farmers’ financing channels, and the use of preference and the influencing factors of the farmers’ financing preference in order to provide reference for the reforms of China’s rural financial systems, so as to reduce the financing constraints faced by farmers and better promote the all-round development of China’s rural economic and social services. The paper selects Datian County of Fujian Province as the sample area and conducts questionnaire to the 229 agriculture managing bodies. Through statistical analysis and econometric analysis, in-depth analysis of farmers’ financing characteristics and influencing factors, and puts forward corresponding policy recommendations.The paper is divided into 6 chapters:Chapter 1, Introduction. This chapter mainly introduces the research background, the selected topic basis, the research goal, the research content, the research mentality and the methods.Chapter 2, the relevant theories definition and literature review of farmers’ financing. This chapter mainly summarizes the related theories of this paper, and summarizes the domestic and international literature results of farmers’ financing preference and its influencing factors.Chapter 3, analysis of rural economy and rural finance environment. This chapter mainly introduces the basic situation of Datian County, the rural financial development situation and its environment of financial development.Chapter 4, the characteristics of farmers’financing preference in sample area. This chapter includes the sample area farmers’financing frequency, financing channels, the use of funds and other characteristics of the overall analysis.Chapter 5, Analysis on Influencing Factors of farmers’ financing preference in sample area. This chapter analyzes the effects of household characteristics and individual characteristics on the formation of financing preference.Chapter 6, Conclusions and policy recommendations. Conclusion the research summary, and puts forward the corresponding policy recommendations for the construction of the rural financial service system.The basic conclusions of this paper are:1, the main factors that influence the willingness of farmers to finance includes the household’s age, household income and family income. The younger the head of household be with less the household income, the stronger of the farmers’willingness to finance.2, the area of land management, the level of the regular financial loan process is the decisive factor that affects the choice of rural households to obtain financing from the formal financial sector. The greater the area of land management, the more understanding of the formal financial loan process, the farmer’s loan from the regular financial sector will be higher.3, family income, loan channel, non-formal loans scale is the use of farmers’financing has decisive, the higher income families, from access to formal financial funds, non-formal loans more small scale, its purpose of financing tend to invest in the production and operation.Therefore, this paper proposes:to strengthen the rural financial supply and promote financial resources more often rural tilt; Rural formal financial institutions should pay attention to the financial product, service, innovation; Strengthen the education on farmers and financial knowledge propaganda; Through perfecting legal, regulatory and policy support, standardize and guide the rural informal financial organizations. To build a new era, under the new normal, in line with the "three rural" development characteristics of multi-level, wide coverage, sustainable rural financial services system.