Study On The Impact Of Corporate Governance On Performance Of Rural Credit Cooperative

In recent years, as China's economy enters the new normal, the domestic financial order is also undergoing significant changes. State-owned banks and joint-stock banks are marching into the rural market and the financial order is changing. In addition, the internet financing booms, private banks mushroom and deposit insurance regulation is officially enacted. Under this condition, the rural credit cooperatives which were the rural financial "mainstay" at one time face huge challenges. Since the birth of rural credit cooperative, it has experienced many times of changes and adjustments, so it can be said that the reform has been on the road. However, due to the historical and practical reasons, the rural credit cooperative has always been slow in the corporate governance. They still have some problems such as ambiguous orientation of institution functions, backward property right system, incomplete corporate structure, imperfect incentive mechanism. opaque information disclosure etc.. which have become main obstacles of restricting their own survival and development. These difficulties further weaken their role of support for agriculture and rural economic development. Therefore, it becomes an important research subject that how to deal with these difficulties and problems through improving the corporate governance structure.The structure of this thesis is as follows. Chapter 1 describes research background and significance, introduces domestic and overseas research results of this subject, indicates research ideas and methods, as well as the innovation and deficiencies. Chapter 2 introduces related theories of corporate governance which include stakeholder theory, principal agent theory, property rights theory and beyond property rights theory, corporate governance theory, etc.. Chapter 3 reviews the reform and development process of rural credit cooperatives, introduces the reform situation of the rural credit cooperatives in pilot provinces (municipalities), and analyzes the problems and sources existing in the rural credit cooperatives in the aspect of corporate governance. Taking Shandong province rural credit cooperatives as an example, Chapter 4 deeply analyzes the differences in corporate governance between the cooperative system and the joint-stock system, and accordingly expands the empirical analysis. This thesis firstly selects 20 Rural Commercial Bank Corporations and 20 rural credit cooperatives of Shandong province as the samples. Then it analyzes the impact of corporate governance on the performance of credit cooperatives by establishing a regression model. The conclusion is that the improvement of corporate governance has positive impact on the operating performance of rural credit cooperatives by. Chapter 5 puts forward suggestions for improving the corporate governance of rural credit cooperatives. These suggestions include facilitating Shareholding reform, clarifying independent legal person status, perfecting the system of property right, optimizing ownership structure, building and perfecting incentive and restraint mechanism and strengthening the information disclosure system, and so on.