On the basis of field interview and questionnaire investigation on 14 sample rural mutual cooper-ative organizations in 4 provinces, autonomous regions and municipalities in China, among which 7 are formal approved by China Banking Regulatory Commission and the other 7 are informal. This paper describes the status quo from perspectives of governance and internal control, business rules, operation results and social cognition, proposes the advantages of these organizations such as volunteer service, community basis, no need of mortgage and closed funds operation, and points out the problems of these organizations such as incomplete internal governance, lack of external supervision, name abuse and no connection with central bank system. Finally, the paper makes some suggestions such as improving law and regulations, clarifying regulatory body and drawing support from mutual cooperative association.
Rural Mutual Fund Organization
Status Quo of Development