Study on Countermeasures of coordinated development of new Urbanization and Agricultural modernization of Jilin province under the perspective of Financial support

Abstract

This article contains the concept of coordinated development of new urbanization and agriculture modernization and the theory of financial development, shows the actuality of the coordinated development of Jilin Province new urbanization and agriculture modernization under the perspective of financial support, and points out problems blocking balanced development of new urbanization and agriculture modernization in Jilin Province as follows: the infrastructure construction of new urbanization financing channel is single; SMEs financing is difficult; financial supply of agricultural modernization is scarce. The goal of balanced development of new urbanization and agriculture modernization in Jilin province is to take a road of urbanization. Based on this, the measures are came up with in Jilin Province as following: develop various forms of infrastructure construction financing channels; and remove small and medium-sized enterprise financing difficulties; and Strengthen the financial support of agricultural modernization. 1. The concept of coordinated development of new urbanization and agriculture modernization and the theory of financial development The coordinated development of new urbanization and agriculture modernization in Jilin Province means that they reinforce each other, realize the virtuous cycle development commonly. The new urbanization refers to the process that a mass of rural population divert into the towns or cities, the second and third industry ceaselessly assemble to the town, so as to increase the number of cities or towns and extend urban scale. The new urbanization emphasis on the people-oriented, and realize person’s all-sided development. The goal of new urbanization is that enhance the level of public service quality, and improve the infrastructure construction and residents’ way of life. The agriculture modernization means that the process traditional agriculture transforming into modern agriculture. In this process, a great deal of modern industrial technology is utilized in the agriculture activities. The aim of agriculture modernization is that increase farmers’ income and living standards, which makes the gap between urban and rural areas. The theory of financial development is about the relationship between economic growth and the financial development. It mainly study on the role of financial system which including the financial intermediary and financial markets in the economic development. And it research how to establish an effective financial system and financial policy combination with maximizing economic growth and how to reasonable use of financial resources in order to realize the sustainable development of the financial and eventually realize the sustainable development of the economy. 2. Financial support under the perspective of Jilin province urbanization and agricultural modernization the coordinated development of actuality Jilin is a big province of agriculture. In recent years the balanced development of new urbanization and agriculture modernization has made great achievement. In the process of coordinating the development of the inevitable birth of a large number of diverse financing needs, has raised new requirement on financial sector. Now the actuality of new urbanization and agriculture modernization under the perspective of financial support is followed in Jilin province. International Symposium on Social Science (ISSS 2015) © 2015. The authors Published by Atlantis Press 429 2.1 Financial support for the construction of towns in Jilin Province Jilin Province the financial support for the construction of towns constantly enhanced. As we can see from the table 1, during 2003 to 2013, Jilin Province fixed assets investment funds mainly from domestic loans and self-financing & other investments. And the proportion of them is continuously incremental. The fiscal expenditure and utilization of foreign capital, is relatively small. In 2013, for example, the budget of about 29.84 billion RMB, while domestic loans and self-financing and other investment respectively reached 58.72 billion RMB, 906.58 billion RMB, respectively, 1.97 times and 30.38 times the budget. And the utilization of foreign capital is trivial, the proportion of it is 2.79 billion RMB in 2013. This fully shows that in fixed asset investment, financial support inhibit the development of new urbanization. Although the financial support has played a role, yet support still to be strengthened. Financial support play an irreplaceable role in the process of urbanization. Table 1 Funding sources of investment in fixed assets (unit:billion yuan) Year Fiscal expenditure Domestic loans Utilization of foreign capital Self-financing & other investments 2003 4.09 11.25 1.09 80.48 2004 5.11 13.44 2.05 96.56 2005 10.79 23.44 3.62 142.4