How to get out of stagnation of rural finance in underdeveloped areas

How to help countries in less-developed areas remove stagnation text/Yu Junshe in recent years, with the development of economy and the deepening of financial reform, the overall level and ability of financial services have been greatly improved, Plays an increasingly important role in supporting economic stability and development.　　But in the county-especially in less developed areas, the phenomenon of stagnation or even shrinking of financial services is not only incompatible with the rapid development of the economy, but also incompatible with the demand for finance in the new rural construction, which is contrary to the original intention of financial reform. The rural financial function is imperfect, the shortage of credit funds in rural financial institutions, the decline in network coverage in recent years, due to the financial system reform and the adjustment of the management strategy of state-owned commercial banks, a large number of county outlets and the concentration of credit authority, the supply of rural credit funds is very limited, it is difficult to meet the new rural According to the survey, in 2001, Baoding City, Hebei province, county financial outlets for 4,175, to the end of March 2009 to 1568, the financial network of village-level coverage from 67.02% to 25.17%, many remote mountainous areas formed a financial gap. The financial practitioners were 17303 people and reduced to 14504.　　In some underdeveloped areas, there is even a vacuum of formal financial supply, which forms the blind area of rural financial services. The lack of the function of the rural financial institutions is lack of the policy financial function. At present, the rural policy financial institution of Baoding is only the agricultural Development Bank, whose task is to undertake the policy financial business stipulated by the State and to allocate the financial Sishe to the Agriculture fund. But because of its narrow scope of supporting agriculture, it restricts the effective exertion of its function to a large extent. From the business development, as at the end of May 2009, the Baoding Agricultural Development Bank issued 4.669 billion yuan loans, grain and cotton oil acquisition loans accounted for 75.56%, although the last two years in the credit varieties have been extended, but mainly for the city's rural grain and cotton oil deep-processing enterprises and a number of rural leading enterprises to launch,　　In the rural infrastructure construction, especially in the new rural construction of farmland transformation, water conservancy facilities, road laying, power communications and other public products investment is still relatively weak, small loans to farmers are still in the blank, the entire credit operation also has a large number of commercial operating colors. Convenient clearing function is missing. First, the state-owned commercial banks withdraw a large number of institutions from counties and villages, so that the advanced service mode lacks carrier. Second, the Rural credit cooperatives service way backward, channel is not smooth. At present, the rural credit cooperatives still take the traditional business of deposit, loan and settlement as the main service mode, and the operation means is backward, and the business processing is not realized electronically and networked. At the same time, the poor settlement channel has become the main bottleneck restricting its business development. The new countryside construction in the commodity circulation, the industrial enterprise construction, the countryside road as well as the housing reconstruction, the Rural Water Conservancy, the large-scale equipment purchase and so on, all cannot leave the fund network Exchange settlement. At present, most of the township financial Service outlets do not haveTrans-provincial and municipal exchange settlement functions seriously affect the development of rural economy. Lack of fund for agriculture. First, the state-owned commercial bank credit threshold is high, the approval link is many, to agricultural enterprise's support is obviously insufficient. According to statistics, by the end of May 2009, the city's state-owned commercial banks agricultural loans only 9.19 million yuan, accounting for 0.02% of total loans. Second, the rural credit cooperatives are restricted by various factors, and the credit for agriculture needs to be further strengthened. The first is the outflow of funds: rural funds through financial institutions to deposit funds, deposit reserve, transfer of savings savings, and rural credit cooperatives to avoid the risk of switching to the same trade channels such as serious loss. At the end of May 2009, the county financial institutions of Baoding city outflow funds amounted to 66.58 billion yuan, accounting for the same period of deposit balance of 44%. Secondly, "three rural" financing cost is high: At present, the loan interest rate of rural credit cooperatives is still in the upper limit management, the maximum floating coefficient is 2.3 times times of the loan benchmark rate, and the rural credit cooperatives often "float to the top" in the implementation of the loan interest rate.　　This has led to the improvement of the benefits of credit unions, but also increased the burden of farmers and agricultural enterprises. The suggestion of reconstructing the rural financial system try to cultivate the pluralistic main body of the rural finance, develop the competitive rural financial market, improve and perfect the financial service to the countryside comprehensively and strengthen the agricultural Development Bank's supporting role. First of all, we must clarify the market orientation of agricultural Development Bank: to support agricultural production increase, increase farmers ' income, agricultural development responsibility, to ensure the sustained and stable national economic operation. Second, the Agricultural Development Bank in accordance with international practice of commercialization, market-oriented operation. We should carry out the innovation of financing channel, financing mode and credit management system, and adapt to the reform of grain circulation system and the adjustment of agricultural structure. In order to ensure the purchase and supply of important agricultural products such as grain, edible oil and cotton, and to improve market regulation, we should undertake the policy financial business of agricultural development loan and poverty alleviation loan. To further broaden the agricultural Development Bank's agriculture-supporting field, it will focus on supporting agricultural and rural infrastructure construction, returning farmland to forestry and ecological environment construction.　　At the same time, to carry out project financing, underwriting bonds, venture capital and other diversified financial services to enhance their market resilience, to achieve a reasonable level of profitability, to ensure its sustainable development. To induce the state-owned commercial bank to increase the credit of the county by the capital income. While following the commercial operation principle, we should find the key point of serving the new rural construction and rationally determine its function division and service focus in the rural financial system.　　At the same time, we should rationally determine the ratio of loan to credit of state-owned commercial banks in less developed areas, which can give preferential treatment in tax deduction and interest subsidy, and induce the state-owned banks to return their funds to underdeveloped areas in order to support local economic development and to promote regional capital balance. Strengthen the cooperative finance reform, make it become the farmer's own bank truly. First of all, we should establish the operating mechanism of full symmetry of power and responsibility and effective management and recovery of loans. Only by establishing such a mechanism, the enthusiasm of all employees of credit unions is fully mobilized, and the loanThe recovery is greatly enhanced, the rural credit cooperatives will embark on the road of sustainable development, so as to make due contributions to the development of less developed areas. Secondly, efforts to expand rural credit business in underdeveloped areas, innovative service mode, according to the needs of rural and farmers, timely launch of land use rights mortgage, forest mortgage, the harvest right on the ground crops, livestock stock and other alternative mortgage business, further simplifying the loan procedures, focus on increasing the variety of microcredit, reduce the cost of farmers loans.　　Finally, the rural credit cooperatives should speed up the informatization and network construction, realize the network interconnection and withdrawal of the whole province as soon as possible, accelerate the capital turnover, improve the service level and the market competition ability. To guide the repatriation of postal savings funds in impoverished areas.　　To encourage the Postal Savings Bank to introduce the Indonesian Sunshine Bank model, to carry out small loans in less developed areas, and to try to lend the postal savings funds to microfinance institutions, so as to gain a stable interest income and to support the development of agriculture and rural economy in underdeveloped areas. We should vigorously develop microfinance and give full play to its make-up role. The microfinance organization has the advantages of flexible loan conditions, simple formalities, low credit risk and fluctuation interest rate, which can better meet the characteristics of small, dispersed, flexible and convenient capital demand in less developed areas. At present, the rural household contract responsibility system, the dispersed operation of farmers, the small amount of funds demand, microfinance can meet this demand, in alleviating the demand for farmers loans, to promote production, play a major role, has a strong vitality; small loans to implement farmers mutual protection, small amortization of the way, easy to control risk, In the case of a certain amount of supply, more farmers can obtain loans, better play their role in supporting agriculture and poverty alleviation, and higher interest rate returns can also make the business financially sustainable.　　The practice has proved that microfinance is a suitable financing way for farmers in rural areas, and should be protected to promote its healthy development in the standard. Strengthen the leverage of interest rate, raise the ability of risk coverage in less developed rural areas in underdeveloped rural areas, the operating cost of financial operation is high, the operating risk is big and the earning period is long, so the loan interest rate should be raised appropriately to ensure its reasonable operating profit margin. The practice of microfinance also proves that the poor rural areas are not lack of investment opportunities, what farmers really lack is capital; many farmers think that a certain level of interest rate is totally tolerable. From the international perspective, the disadvantaged group loans are also characterized by high interest rates.　　Therefore, only by ensuring that the loan interest rate of financial institutions in underdeveloped rural areas can cover risks and costs, so that the rural financial institutions can make loans to the disadvantaged groups profitable, more and more funds will be attracted to the underdeveloped rural areas. (The author unit is the People's Bank of China Baoding Central Branch)