A: (1) Improve the rural financial organization system. Since 2005, the state has successively introduced a series of policies and measures, launched pilot projects of new rural financial institutions such as small loan companies, rural banks and mutual funds cooperatives, promoted the reform of the "three rural" financial departments of China Agricultural Bank and Postal Savings Bank, deepened the reform of rural credit cooperatives, expanded the pilot projects of credit cooperation within farmers' cooperatives, explored effective ways to develop new rural cooperative finance, and promoted the increase of rural financial supply.

(2) Innovating rural financial products and services. While strengthening the supply of rural financial organizations, the reform puts more emphasis on giving play to the guiding role of policies, guiding and encouraging financial institutions to innovate financial products and services through policies, and maximizing the vitality of rural financial markets. Implement incremental incentives and preferential tax policies for agricultural loans. Income from guarantee fees and re-guarantee fees obtained from agricultural financing guarantees is exempt from value-added tax, and interest income obtained from agricultural micro-loans of financial institutions is exempt from value-added tax. Carry out differentiated assessment, incorporate the service of agriculture, rural areas and farmers into the performance appraisal system of financial institutions, give appropriate extra points to financial institutions that issue more than a certain proportion of agricultural loans, and stimulate the endogenous motivation of financial institutions to serve agriculture, rural areas and farmers.

(3) Innovating agricultural insurance products and services. In 2007, the state established a policy-based agricultural insurance policy. The main features of this policy are the government's guidance in the form of premium subsidies, commercial insurance companies' market operation, farmers' voluntary participation, and coordinated promotion of agriculture-related departments at all levels. In terms of types of insurance, policy-based agricultural insurance adopted the modes of "mass central insurance, local insurance with characteristics" and "low security and wide coverage" at the beginning of its development, providing direct materialized cost insurance for economic losses caused by natural disasters and accidents in farming and aquaculture.