Financial development

- Jul 03, 2018-

The central bank issued the overall situation of the payment system in the second quarter of 2016 in September 8th. Statistics show that as of the end of the second quarter, the total number of ATM machines has reached 906 thousand and 300 units. However, from the area of ATM distribution, our domestic ATM mainly concentrated in the large and middle cities, especially in the Pearl River Delta, the Yangtze River Delta and the Bohai region, the relative distribution density in the more developed cities is relatively concentrated, the distribution rate in the small and medium cities and the rural areas is still very low, and some remote rural areas are even blank. In view of this, the demand for financial services of over 600 million rural population can not be fully met, and the construction of Inclusive Finance needs to be further accelerated.


Relying on scientific and technological innovation is an effective measure to develop Inclusive Finance.


The Party Central Committee and the State Council attach great importance to the development of Inclusive Finance. The eighteen and eighteen sessions of the party's third, fourth and fifth plenary sessions have clearly pointed out that the combination of international experience and the embodiment of Chinese characteristics, the combination of government guidance and market dominance, the combination of the basic financial services and the improvement of the financial services in the key areas, and the continuous improvement of the coverage, availability and satisfaction of financial services are clearly pointed out. To enable the overwhelming majority of the people to share fairly the fruits of financial reform and development.


In 2015, the government work report made a clear request for the development of Inclusive Finance. At the beginning of 2015, the China Banking Regulatory Commission (CBRC) set up a special banking department in the reform of the regulatory framework, which marks the new stage of the general layout and comprehensive promotion of inclusive financial development in China. In December 31, 2015, the State Council issued the plan for promoting the promotion of Inclusive Financial Development (2016-2020 years). It is pointed out that the vigorous development of Inclusive Finance is the necessary requirement for China to build a well-off society in an all-round way. It is conducive to the sustainable and balanced development of the financial industry, the promotion of public entrepreneurship and innovation, and the promotion of the transformation of the economic development mode. To improve social justice and social harmony. Agricultural Inclusive Finance has once again welcomed the promotion of favorable policies. In 2016, "developing rural Inclusive Finance, reducing financing costs and fully activating the chain of rural financial services" again appeared in the "Central Document No. 1".


Although the central level has been paid much attention to the development of Pratt and whiten finance, the policy has been repeatedly inclined to the agricultural and Inclusive Finance, and the enterprises and financial institutions have been trying to innovate in the agricultural Inclusive Finance and have achieved some achievements. But the agricultural Inclusive Finance is a system aimed at helping the rural population to get out of poverty and fuel the engine of the rural economy. In order to make up for the short board of agricultural modernization, promote the coordinated development of social economy and help our country build a well-off society in an all-round way, many difficulties still exist in the process of development and construction.


For a long time, there has been a dislocation between supply and demand for financial services aimed at agriculture, rural areas and farmers. On the one hand, agriculture and rural areas can not get effective financial support. On the other hand, the financial institutions are encouraged by "commercialization", and the financial resources are far away from the rural areas with weak economic development and moving towards the more profitable cities and towns. We see that in most rural areas, the financial institutions can not be opened in the case of the huge contradiction between operating income and operating costs. The traditional financial self-service equipment is also unable to be realized because of the high cost of site occupancy, equipment price, money raising, operation and maintenance. (see the accompanying drawings)


Therefore, relying on scientific and technological innovation to improve the construction of financial infrastructure, expand the means of financial services, and extend the channel of financial services is an effective measure to accelerate the development of Inclusive Finance.