Research On The Legal System Of Rural Financial Linkage In China

Since the 19 th annual congress of the communist party of China,the government has been vigorously promoting the strategy of rural revitalization,the development of rural faces a major opportunity,but rural capital supply has always been a weakness.It can't meet the financial needs of farmers' production and life,it also restricts the development of rural economy and society.Because of the rural financial supply and demand imbalance,formal financial institutions is a major supplier of rural capital,it has high borrowing costs and a strict lending process.The demand is based on low-wage formers,they don't provide eligible collateral,and loan investment project is generally not high income,so they were excluded from the formal financial services.Under the background of rural financing difficulties,it can explore through innovation of rural loan mode,namely establish rural financial linkage.It combines the financial advantage of formal finance and the information superiority of informal finance to complement each other,and realizes the effective expansion of the formal financial service boundary.The operation of the rural financial linkage without the guarantee of legal system,Through draw lessons from foreign rural financial connection of the existing legislation and practice experience,to construct meets the needs of the rural economy development of our country the legal system of financial linkage,it solves the problem of insufficient rural financial supply and make contributions to promoting rural revitalization strategy.This paper focuses on the legal system of the rural financial linkage,which aims to provide theoretical guidance and basis for the reform of agricultural loans in China.It analyzes the practice of rural finance linkage mode and the existing legal problems by methods of comparative analysis and historical analysis.This paper studies the relevant legislation and practical experience of foreign rural finance linkage,and puts forward some measures to construct the legal system of rural finance linkage according to the current situation of rural economy in China.The paper is divided into five parts:The first part,it puts forward the purpose,significance,research methods and innovation of this paper.As a new mode of agricultural loan,rural financial linkage has met the financingneeds of farmers and provided the conditions for banks to expand rural financial services.Through the research of the rural financial linkage at home and abroad,it is found that the current study focused on economics and finance,but the lack of rural financial linkage in the research of law,it can't meet the needs of rural financial linkage development and the need to study rural financial linkage from the perspective of law.The second part,it introduces the concept,legal attribute,operation mode and related theory of rural financial linkage.First of all,this paper introduces the concept of rural financial linkage.As a new model of rural credit,financial linkage is established in the cooperation mode of vertical connection.Rural organizations act as intermediaries based on information sufficiency,which can provide trusted rural customers to formal finance.It solves the problem of information asymmetry and moral hazard when formal finance faces small and medium borrowers,and increases the availability of credit funds for rural disadvantaged groups.Secondly,this paper discusses the legal nature of rural mediation.The intermediary organizations that provide financial information for formal finance include individuals and units in the name of formal financial institutions.Thirdly,it elaborates the operation mode of rural financial connection,such as loan mode,employment mode,cooperation mode and guarantee mode.Finally,the paper analyzes the risk control and connection mode of rural financial linkage using the theory of contract group and principal-agent theory.The third part,it analyzes the present situation and existing problems of the rural financial linkage in China.At present,there are no special laws to regulate its development,and a series of policy guidance documents to regulate rural financial linkage.Law is scattered and lack the necessary legal system,there is a lower normative legal documents status,lower the mortgaged property,the risk of imperfect supervision system,and ambiguous rural intermediary access,these can't meet the needs of the development of the rural financial linkage.The fourth part,it analyzes the relevant legislation and practical experience of foreign rural financial linkage.By comparing with the legal system of rural finance linkage in the United States,Japan,India and Indonesia,it provides a reference for the next chapter to improve the relevant measures of rural financial linkage legal system.The fifth part,it proposes measures to construct the legal system of rural finance linkagein China.In the aspect of participation,it illustrates the access conditions of rural intermediary and formal finance;In terms of the contract,it emphasizes the design of reasonable terms of rural financial connection contract,including loan interest rate,loan amount,connection period,agency authority and fee payment;In terms of risk prevention,it puts forward the connection mechanism of "credit + insurance","credit + order contract",and closed fund operation mode;In terms of supervision,it proposed the subject of supervision and the review of the record contract.