The judgment of the degree of rural financial deepening in Jilin Province and the measures

摘要

The financial repression constraints the development of the rural economy, but the financial deepening is good to it. The financial deepening is benefit to overcome the financial repression. This paper puts forward the measures to rural financial deepening in Jilin Province, and the measures are as follows: first is to relax the controls of the interest rate in order to make the rural financial market interest rates liberalize; second, is to lower the capital threshold to enter the rural financial market, and relax the regulation; third is to play “leading function” of the Agricultural Development Bank and agricultural policy insurance institutions, leading more capital into the rural market; Fourth is to establish a mechanism making the capital flow into rural areas; fifth is to reduce the direct subsidies to farmers, and the indirect subsidies are implemented to farmers through the agricultural and political financial institutions.