A Research On The Inclusive Financial Services Of Rural Banks

The construction of the inclusive finance system is an effective means to solve the contradiction between the growing good life needs of our people and the unbalanced development.The rural bank makes up for the lack of small grass roots financial institutions in China,expands financial service coverage in remote areas and improve the quality of finance servicing the real economy.However,the rural banks also expose the problems of stagnation,poor asset quality and weak corporate governance.This article is composed of six parts.The first part is introduction,which points out the research background and significance of this paper,and the summary of the main research achievements both abroad and at home,the research ideas,methods and contents of this paper.The second part summarizes the development process,definition and characteristics of inclusive finance and the rural bank,and the typical case of foreign banks providing inclusive financial service.The third part is the analysis of the environment,the present situation and existing problems of the rural banks in Xiamen.The fourth part is the analysis of the causes of the problem of rural banks in Xiamen providing inclusive financial service,and the development strategy can be taken by using the SWOT model.The fifth part are the suggestions on improving the inclusive financial services of the rural banks in Xiamen.The sixth part are the conclusions based on the above research.The main conclusions of this paper is that the rural banks have made important contributions to activating rural financial markets,improving the rural financial market and inclusive financial system,and supporting the rural social and economic development.However,some rural Banks have exposed problems such as slow development,high risk level and low profitability over time.The root of the problem is the contradiction between the high demand of inclusive finance and the small size,low efficiency of the rural banks,and the fuzzy positioning of rural bank between policy banks and commercial banks.At the same time,there are some specific factors,such as conflict of stakeholder needs,principal-agent problem and unclear boundary of company.Rural banks should adopt the centralized development stategy,develop the local market deeply,take action to optimize the ownership structure,improve corporate governance,build brand image,enhance personnel quality and technical ability,expand service coverage,improve service tools,and strengthen innovation and risk management.Government should also enhance communication,innovative supervision mode,and increase support to create a favorable environment for the rural banks.How to maintain healthy development and providing better inclusive financial services is the key and difficult point in the reform of rural financial system.This paper contributes some points of rural bank providing inclusive financial services and hopes serve to attract more valuable researches on this issue in the future.