What is the economic impact of the changes in China's financial institutions

Challenges to the development of China's financial industry

Reporter: In the "post-crisis era", the global economic power of the major economies has been reconfigured, and the international financial and monetary systems are facing restructuring, while the domestic economic transformation is accelerating and the economic growth rate is slowing down. In this international and domestic context, the development of China's financial sector will face what problems?

Yuan Dejun: China's financial industry has entered a new stage of accelerated development and expanded openness, and faces good growth opportunities as well as challenges.

First is the challenge of economic transformation. Promoting economic transformation based on the strategic adjustment of economic structure is the center of gravity of China's future economic work. This transformation is not only to improve the quality of economic growth, change the mode of economic development, the implementation of the objective requirements of the scientific concept of development, but also China's economy in the face of the increasingly dangerous international external economic environment and the increasingly strengthened domestic resources and environmental constraints of the inevitable choice. It can be said that economic transformation is the main theme of China's economic development in the future.

Economic transformation requires financial transformation, and without financial transformation, economic transformation can not be realized. Economic transformation is the basis and premise of financial transformation, financial transformation is the push and power of economic transformation. The two are closely linked, promote each other and complement each other. Supporting economic transformation, especially industrial transformation, is the main aspect and core task of the financial industry to serve the real economy.

Bank-led indirect financing in the social financing structure occupies a dominant position, determining the commercial banks in supporting economic transformation has an important mission. Adapting to the requirements of financial transformation, the credit business of commercial banks should realize the transformation in the development strategy, support focus, configuration structure, etc., and achieve four transformations: one is to optimize the industry structure of credit investment, so that the focus of credit support from the manufacturing industry to the upgrading of traditional industries and the transformation of strategic emerging industries; the second is to optimize the spatial structure of the allocation of credit funds, so that the allocation of credit funds from the concentration of the economically developed regions to regional The third is to optimize the enterprise structure of credit support, so that the investment of credit funds tilted excessively towards large enterprises to focus on supporting small and medium-sized enterprises, especially small and micro-enterprises change; the fourth is to optimize the structure of the credit business, so that the credit business from the traditional credit to the transformation of green credit.

The role of direct financing in promoting economic transformation must be effectively brought into play. It is necessary to optimize the structure of listed companies and give priority to the listing of enterprises belonging to strategic emerging industries; accelerate the construction of a multi-level capital market system; speed up the development of industrial investment funds, government-guided funds, private equity investment funds and merger and acquisition funds, increase the supply of venture capital, promote industrial expansion, industrial integration and industrial mergers and acquisitions, and promote industrial upgrading; vigorously broaden the channels of direct financing for enterprises, innovate the direct financing We will vigorously expand direct financing channels for enterprises, innovate direct financing methods, and support more enterprises to utilize direct financing tools such as short-term financing bonds, medium-term notes, and small and medium-sized enterprise pooled notes to raise funds.

The second challenge is the marketization of interest rates. Accelerating the reform of interest rate marketization is urgent. Socialist market economic system, is to let the market play a fundamental role in resource allocation, and interest rates as the price of funds is the allocation of resources "indicator" and "regulator". Without the marketization of interest rates, it is impossible to talk about the marketization and high efficiency of the allocation of financial resources, and naturally, it is impossible to talk about the perfection of the socialist market economy system. Interest rate marketization is also an important condition for the commercialization of banks. Without the full marketization of interest rates, there will be no real commercialization of banks. Long-term deposit interest rate control has harmed the interests of depositors, so that depositors' deposits in the case of negative interest rates can not even do to preserve the value of deposits, and at the same time create a high interest rate differentials in the bank, so that the bank can enjoy the monopoly profits and impede the loan pricing ability, interest rate risk prevention and control ability to improve the competitiveness of the bank is not conducive to the cultivation of the competitiveness of the bank. Interest rate control makes the interest rate signal distortion, make the interest rate is difficult to effectively play the macro-control function, and it is also induced by the private lending and borrowing an important source of high interest. Because in the interest rate to implement the dual-track system and the financial market funds supply and demand relationship is highly tense situation, the market interest rate is bound to be much higher than the control rate. At present, the whole economy and society and the financial authorities have recognized the urgency of interest rate market-oriented reform, I believe that the "Twelfth Five-Year" period of interest rate market-oriented reform will make significant progress.

After the marketization of interest rates, commercial banks and insurance companies will be faced with the ever-present interest rate risk, the stock market and bond market fluctuations will be more frequent, the impact of interest rates on the brokerage firms' proprietary business, asset management business, fixed-income business, derivatives trading business and so on, financial institutions are in need of improvement in the pricing of products, the ability to monitor and analyze the trend of interest rates and the ability to control interest rate risk.

Again, the challenge is the comprehensive operation of the financial industry. In the financial industry integrated operation continues to develop, the financial sub-industry industry barriers and market barriers between the broken, cross-industry, cross-market financial products emerge in large quantities, the intensity of financial competition increased, all types of financial institutions not only to face the same financial sub-industry competitors, but also to face the competition of competitors outside of the industry, which is the financial institutions of the marketing ability, adapt to the market and customer demand for product innovation ability, risk prevention and control ability, the ability to control the risk, and the ability to control the risk. This has put forward higher requirements for financial institutions' marketing ability, product innovation ability to adapt to market and customer needs, risk prevention and control ability, and the cultivation and aggregation of complex talents. Shadow banks, which have been developing rapidly in China in the past two years, have adapted to the diversified needs of fund-raisers and investors, replaced the functions of commercial banks in some aspects, eroded the traditional territories of commercial banks, and posed a serious challenge to commercial banks. This challenge, in fact, is a concrete reflection of the real challenges posed to financial institutions by the integrated operation of the financial industry.

Lastly, it is the challenge of the transformation of financial development. The traditional way of financial development focuses on the expansion of total financial volume, ignoring the optimization of financial structure; focusing on the breadth of the financial market, ignoring the depth of the financial market; focusing on financial competition, ignoring financial efficiency; focusing on the financial hard power (scale of financial assets, the number of financial institutions, the share of the financial market, etc.) to build, ignoring the soft power of finance (the ability to innovate, the overall competitiveness of financial enterprises, financial enterprise corporate governance mechanisms, financial The financial soft power (financial innovation ability, comprehensive competitiveness of financial enterprises, corporate governance mechanism of financial enterprises, financial development environment, financial culture construction, etc.) is neglected. Financial institutions have taken "bigger and stronger" as their development goal, and are pursuing scale expansion, with a serious tendency of homogenization of business and products, and a lack of business characteristics. We must replace the sloppy way of financial development with a scientific way of financial development, strengthen the fine management of financial institutions, and realize the harmonious unity of scale and structure, breadth and depth, hard power and soft power in the process of financial development.