This paper will make a comprehensive analysis of the rural cooperative financial system. While summing up the advanced experience of foreign cooperative finance, it compares the existing problems in China. According to the problems existing in rural finance in the near future, this paper makes analysis and research based on practical experience, and discusses the prospect and reform direction of cooperative finance. Furthermore, it puts forward the constructive enlightenment of China's rural cooperative financial reform, which has practical significance for rural economic development and improving farmers' living standards.