Seven work priorities have been circled
Editor’s note: This article comes from Zhongxin Jingwei , reproduced with permission.
According to the news on the 5th of the central bank’s website, recently, the 2020 People’s Bank of China working conference was held. Regarding this year’s work, the central bank has proposed to maintain a stable and flexible monetary policy. It is determined to win the battle to prevent and resolve major financial risks; Focusing on the difficulty of financing and expensive issues, we must increase the seven requirements of financial support and supply-side structural reform.
Photograph by Xinxin Jingwei, Photo
The meeting believes that in 2019, various work has achieved significant results.
First, the effectiveness of monetary policy has been further improved. In response to the increasing downward pressure on the economy, the monetary policy has focused on countercyclical adjustments, and the deposit reserve ratio of financial institutions has been lowered three times; the creation of a central bank bill swap tool to support banks in issuing perpetual bonds to supplement capital and improve bank lending capabilities; flexible use of medium-term loan facilities And various monetary policy tools, such as standing loan facilities and open market operations, to maintain a reasonable and adequate liquidity of the banking system.
Second, key progress has been made in preventing and mitigating major financial risks. After efforts, the excessive rise in macro leverage has been effectively contained, and the effectiveness of shadow banking governance has been significant. Major breakthroughs have been made in risk management of key financial institutions, external shock risks have been effectively addressed, bond default treatment mechanisms have been continuously improved, and Internet financial risks have been fully managed. .
Third, financial support for the real economy has continued to increase. Promote financial institutions to support key areas, major projects and important construction projects, and promote high-quality development of the manufacturing industry. Financial targeted poverty alleviation has achieved remarkable results. Financial services for rural rejuvenation continued to improve, and the “two-rights” mortgage loan pilot was effectively linked. Further alleviate the difficulty of financing for small and micro private enterprises, and continue to promote the formation of a “several companies” policy synergy.
Fourth, financial reform and opening up have been deepened. Concentrated announcement of more than 30 measures to liberalize, and clearly advance the cancellation of the proportion of foreign shares in securities, funds, futures and life insurance to 2020. The restrictions on investment quotas for qualified foreign investors will be fully lifted. Foreign-funded institutions are allowed to carry out underwriting and rating of bonds in the inter-bank market.
Five is the continuous improvement of financial services and management. EarnestlyWe will coordinate the important legislative duties of the financial industry and improve the level of administration according to law. The comprehensive statistical work of the financial industry is progressing smoothly, and the financial basic data center is set up as scheduled. The central bank’s research on fundamental issues has steadily improved. Administrative licenses for opening bank accounts of enterprises were completely cancelled.
Regarding work in 2020, the meeting requested that the first is to maintain a sound and flexible monetary policy. Strengthen counter-cyclical adjustments, maintain reasonable and sufficient liquidity, and promote the growth of monetary credit and social financing to match economic development. Continue to deepen the reform of the market-oriented interest rate and improve the transmission mechanism of the quoted interest rate in the loan market. Continue to promote banks’ replenishment of capital through multiple channels, including the issuance of perpetual bonds. Adhere to the decisive role of the market in the formation of the exchange rate, and keep the RMB exchange rate basically stable at a reasonable and balanced level.
Second is to resolutely win the battle to prevent and resolve major financial risks. Clarify the boundaries of the responsibilities of all parties, compact the responsibilities of all parties, compact the main responsibilities of financial institutions, the responsibility for local government’s territorial risk disposal and the first responsibility for maintaining stability, the financial supervision department’s supervision responsibility, and the PBOC’s last lender responsibility, and resolutely prevent moral hazard. Establish and improve financial institutions’ recovery and disposal mechanisms, loss sharing mechanisms, and incentive and restraint mechanisms.
Third, focusing on alleviating the difficulty of financing for small and micro enterprises, and strengthening the structural reform of the supply side of financial support. We will improve the incentive mechanism for loan appraisal of small and micro enterprises, implement the credit due diligence and exemption system, and create a policy environment that is willing to lend and can lend. Promote the use of multi-sector synergies, make good use of policy tools such as targeted RRR cuts, re-loan rediscounts, macro-prudential assessments and credit management, and effectively promote the improvement of financing for small and micro enterprises.
Fourth is to accelerate the improvement of the macro-prudential management framework. Preparation of macro-prudential policy guidelines. Construct a macro-prudential stress test system. Speed up the establishment and improvement of a macro-prudential management mechanism for cross-border capital flows that integrate local and foreign currencies. Gradually expand the scope of macro-prudential policies. Organize the implementation of systemically important bank assessments and promote the implementation of supervision and management measures for financial holding companies.
Fifth, continue to deepen financial reform and opening up. Deepen reform of financial markets and financial institutions. Actively develop the bond market and continue to promote the interconnection and interconnection of the bond market infrastructure. Strengthen the overall supervision and construction planning of financial infrastructure. Deepen the reform of small and medium banks and rural credit cooperatives, and further improve the governance structure of policy banks. Actively and steadily promote the internationalization of the RMB. We will further advance the reform of the foreign exchange management system, and support the Pilot Free Trade Zone and the Free Trade Port to try out foreign exchange management reforms first. Improve the integrated management framework of “macro-prudential + micro-regulation” in cross-border capital flows.
Six is to strengthen the research and development and application of financial technology. We will implement the development plan for fintech, establish and improve the basic rules and regulations system for fintech supervision, and do a good job of piloting fintech innovation supervision. Continue to steadily advance the development of legal digital currencies. Further expand the application field of Global Legal Person Identification (LEI) in China.
Seventh is to comprehensively improve the level of financial services and financial management. Make overall plans to promote the construction of financial laws, regulations and rules. strengthenFinancial statistics monitoring and analysis, to create a financial statistics platform and financial basic database in line with the development direction of big data. Deepen the pilot projects of regional financial reforms such as science and technology finance, green finance, inclusive finance, financial innovation and regional coordinated development. Promote the modernization of financial management of the central bank.
The meeting emphasized that in order to do a good job in 2020, we must always insist on putting political construction in a more prominent position. At the same time, we must consolidate and expand the achievements of thematic education. in the end. It is necessary to continuously strengthen the people’s bank’s understanding of “first and foremost the political organs”, strengthen the political construction of the leadership team, and select and optimize the leadership teams at all levels. It is necessary to further improve the ideological methods and work style, adhere to the ideological line of seeking truth from facts, resolutely put an end to all forms of formalism and bureaucracy, and effectively improve work methods. It is necessary to exert greater efforts to comprehensively and strictly govern the party and resolutely implement the “two responsibilities.” It is necessary to continue to improve the inspection work mechanism and system, unswervingly deepen political inspections, and further promote discipline inspection and supervision, internal and external inspections, audits and special inspections to form a long-term supervision mechanism.