Synergistic Empowerment of Fiscal and Financial Policies: A Study on the Path to Improve the Quality and Efficiency of Rural Financial Services in the Context of Rural Revitalization

Abstract

Comprehensively advancing rural revitalization is the core task of building a country strong in agriculture in the new era. As the lifeblood of the modern economy, finance is the key to break the funding constraints on the development of agriculture, rural areas and farmers, and activate the vitality of the rural economy. In recent years, the annual Central Document No.1 has continuously focused on the development of a coordinated fiscal and financial support mechanism for agriculture. China's policy system for agriculture-related finance has been continuously improved, the scale of agriculture-related credit has expanded steadily, and the coverage and availability of rural financial services have been significantly enhanced. However, constrained by the urban-rural dual structure, the inherent vulnerability of the agricultural industry, and information asymmetry in the rural financial market, the current rural financial services still face pain points such as mismatch between supply and demand, high transaction costs, and an inadequate risk mitigation mechanism, which restrict the further improvement of the quality and efficiency of financial support for agriculture. Based on the theory of rural financial development and the theory of imperfectly competitive markets, this paper sorts out the practical effects of China's financial services for agriculture, rural areas and farmers, analyzes the core bottlenecks in the current rural financial market, and proposes a systematic path to improve the quality and efficiency of financial services for agriculture, rural areas and farmers from the dimensions of policy coordination, supply optimization, model innovation, digital empowerment, and credit system construction, so as to provide theoretical reference and practical guidance for boosting comprehensive rural revitalization and building a country strong in agriculture.