On The Independence Of Rural Financial Supervision

The rural finance of our country is derived from a particular nature,economy,politics,culture and social background.It is obviously different from the urban finance in development goals,market structure,service object,risk features,credit mechanism and some other aspects.The unique formation mechanism,development rule and inherent characteristics of rural finance decide that the supervision of rural finance should have its independent value idea and supervision model.Based on this,the thesis focuses on three basic questions: “Why do we need independent rural financial supervision? ––What is the independent rural financial supervision? ––How to secure the independent rural financial supervision? ” Furthermore,the thesis will certify the independent rural financial supervision from the perspectives of endogenous mechanism and extrinsic value.And it will inspect the realistic context of rural financial supervision in China and will establish a relatively independent supervision system at the institutional level,in order to solve the problems faced by rural financial supervision,and to rectify the excursion and alienation of its development,and to make the rural finance better serve“ the issues of agriculture,farmer and rural area” and contribute to the strategy of “ rural revitalization”.The thesis is divided into five chapters,including the following contents:The first chapter starts from the realistic problems.The specific political,economic and natural environment in our country make rural finance have the characteristics of highly risky,inefficiency and incompleteness of the rural financial market.At present,China's unified financial supervision system neglects the aforementioned characteristics of rural finance and regulatory requirements,resulting in problems such as the alienation of regulatory objectives faced by rural financial supervision,the absence of a regulatory legal basis,the existence of defects in the regulatory body system,and the inconformity of regulatory mode to rural financial characteristics.The second chapter explains the basic problem of “why do we need independent rural financial supervision” at the theoretical level.First,independent rural financial supervision can improve the effectiveness of rural financial supervision by reducing regulatory capture and safeguarding regulatory resources.Second,it can guide the fair distribution of financial resources through the establishment of clear regulatory objectives,incentives,and other regulatory measures to ensure the realization of the goal of supporting agriculture.Finally,the independent rural financial supervision is targeted to protect the rural financial consumers who are in a weak position of trading and to achieve financial equity.The third chapter answers the basic question of “ what is the independent rural financial supervision? ” and points out that the independence of rural financial supervision should first include the inherent meaning of the independence of financial supervision—that is,the financial supervision has sufficient power and resources to protect itself against improper intervention.Secondly,the independence of rural financial supervision means that the rural financial supervision system is independent.Independent rural financial supervision mainly manifests itself in four aspects: regulatory objectives,regulatory basis,regulatory bodies,and regulatory methods.The fourth chapter introduces the extraterritorial experience of the independence of rural financial supervision.The experiences of rural financial supervision in the United States,Japan,and France show that the legalization of rural finance is the institutional basis for realizing the independence of rural financial supervision.On this basis,its goal of supporting the agriculture is secured to be statutory,meanwhile,an independent regulatory body is established and an independent rural financial supervision model is adopted to achieve the independent rural financial supervision.The fifth chapter discusses the issue of “how to secure the independent rural financial supervision ”.Based on the realistic difficulties of rural financial supervision under the current unified supervision model in China,this part aims to guarantee the independence of regulatory objectives through the legalization of the goal of supporting the agriculture,and to realized the independence of regulatory basis through the legalization of rural finance.Meanwhile,this part proposes to optimize the rural financial supervision body system for protecting the independence of the regulatory body,and to build an independent rural financial supervision model thus ensuring that the rural financial supervision fits the characteristics of rural finance and the effectiveness of supervision can be improved.