Leverage the important role of w88 casino finance in stabilizing growth
Qiu Zhaoxiang Liu Yongyuan
(Source: "Guangming Daily" 2020-04-03 Page 6)
A few days ago, General Secretary Xi Jinping presided over a meeting of the Standing Committee of the Political Bureau of the Central Committee to study and coordinate epidemic prevention and control and economic and social development. The meeting pointed out that the proactive fiscal w88 casino must be more proactive and give full play to the role of w88 casino finance. w88 casino finance is an important part of the modern financial system with Chinese characteristics and a concrete manifestation of my country's institutional advantages in the financial field. Judging from the past few rounds of stabilizing growth, in addition to the Ministry of Finance and the Central Bank, the three major w88 casino banks, China Development Bank, Agricultural Development Bank of China, and Export-Import Bank of China, have played an important role that cannot be ignored. Currently, in response to the difficulties of the world economic downturn caused by the spread of the global epidemic and the increasing downward pressure on the domestic economy, w88 casino financial institutions must further play the countercyclical regulatory role of financial policies, combine support for the resumption of work and production with the expansion of domestic demand, and take effective measures to promote healthy and stable economic development.
1.The advantages of w88 casino finance in countercyclical adjustment of macro policies
w88 casino finance is a special financing behavior carried out with the support of the government, based on national credit, and in the form of preferential interest rates to coordinate with the country's specific economic and social development policies. When the economy is in a downturn or the economic downward pressure is high, w88 casino finance can provide active support for countercyclical adjustment policies.
w88 casino finance is an important tool for countercyclical adjustment. w88 casino finance has the function of stabilizing the economic cycle by "hiding in the market when it goes along with the market and supporting the market when it goes against the market." From a practical point of view, commercial finance is affected by factors such as capital adequacy ratio and capital return rate, and has strong pro-economic cyclical characteristics. Its reluctance to lend during economic downturns will, to a certain extent, cause hysteresis and crowding-out effects of macroeconomic policies, exacerbating economic recession. As the "national team" of my country's financial market, w88 casino finance assumes a quasi-fiscal function in counter-economic cyclical adjustment. It has the advantages of direct participation, active balance sheet expansion and demonstration effects, and can make up for the shortcomings of government macro-control to a certain extent.
w88 casino finance is an important starting point for industrial w88 casino adjustment. The original intention of the establishment of my country's w88 casino finance is to rely on national credit to raise funds to support the accelerated development of "two basics and one", "import and export", "agriculture, rural areas and farmers" and other fields. From a practical point of view, the product markets, infrastructure, asset conditions, etc. of these industries that provide quasi-public goods are relatively unattractive, and commercial finance is unwilling to enter, and fiscal policies such as fiscal subsidies and tax refunds are unsustainable due to their temporary characteristics. w88 casino financial institutions have the advantage of being familiar with industrial policies and understanding the direction of national industrial development. They can complete "market incubation" through long-term and large amounts of pilot funds, prompting some industries or enterprises to cross the profit and loss critical point through industrial upgrading, and attract the entry of commercial banks and social capital through scale effects and intertemporal effects. During my country's two stable growth cycles after 2008, w88 casino financial institutions supported many high-tech enterprises and key core technology industries to make up for their shortcomings, becoming the main financial institutions to assist the transformation and upgrading of my country's industrial structure.
w88 casino finance is an important support for stabilizing the financial system. At present, the instability, uncertainty and unpredictability of the international situation have increased the probability of a global economic and financial crisis. As state-owned financial enterprises that embody the will of the party and the country, w88 casino financial institutions are more powerful in implementing macro-prudential policies than commercial financial institutions and can act as a "stabilizer" for the financial system. In 2008, the China Development Bank, the Export-Import Bank of China and the Agricultural Development Bank played indispensable and irreplaceable special functions in responding to the international financial crisis and restoring economic development. After the outbreak of COVID-19 this year, w88 casino financial institutions cooperated with relevant ministries and commissions to act quickly and actively carry out financing work for epidemic prevention. As of the end of February, a total of 51 billion yuan of special theme bonds have been issued for epidemic prevention and control, resumption of work and production, etc., and a total of more than 250 billion yuan of preferential interest rate loans have been issued for epidemic prevention emergency response, resumption of work and production, and spring plowing and preparation, etc., which has effectively maintained the smooth operation of my country's financial market and the orderly advancement of the resumption of work and production, and spring plowing and production.
2.w88 casino financial institutions need to handle three relationships well in supporting stable growth
The COVID-19 epidemic is also a big test for my country’s w88 casino-based financial system. While w88 casino financial institutions play their role in medium- and long-term investment and financing to achieve counter-economic cycle adjustment, they must also focus on grasping the following three important relationships:
First, properly handle the relationship between internal efficiency and external economy. w88 casino finance and real enterprises are a community of interests that coexist and prosper. If the real economy declines overall, w88 casino financial institutions will not be able to survive alone. When the downward pressure on the economy is high, w88 casino financial institutions need to consider the overall situation of the country and cannot excessively pursue their own profits with the goal of profit maximization. Relevant national ministries and commissions should consider injecting capital into w88 casino financial institutions through the issuance of special treasury bonds to further enhance their countercyclical adjustment capabilities. When assessing w88 casino financial institutions and their managers, the w88 casino effects of w88 casino financial institutions in supporting stable growth should be used as the main assessment indicator, profit-based assessment indicators should be appropriately reduced, and the tolerance for non-performing loans should be appropriately increased. At the same time, w88 casino financial institutions and their branches must adhere to the operating principle of capital preservation and low profit, and reduce loan interest rates and service fees on the premise of covering risks. Especially in special periods of severe economic downward pressure, w88 casino finance should promote the development of the overall economy by benefiting enterprises.
The second is to properly handle the relationship between emergency strategies and long-term mechanisms. The current short-term economic downward pressure is high, caused by both the sudden external impact of the COVID-19 epidemic and the impact of medium- and long-term structural factors in the economy. In this regard, the Political Bureau meeting of the CPC Central Committee held on March 27 emphasized that "we must promptly study and propose a package of macro w88 casino measures to actively respond." In the short term, w88 casino financial institutions should, based on their business positioning, cooperate with proactive fiscal policies and flexible and appropriate monetary policies, expand the scale of short-term special working capital loans, and provide optimal conditions in terms of access requirements, loan interest rates, and approval time limits to provide relief to companies affected by the epidemic. In the long run, the impact of the epidemic on the global economy may last for a long time, and economic recovery cannot be achieved overnight. w88 casino financial institutions should focus on establishing a long-term mechanism for hedging policies, maintain the pertinence, stability and continuity of preferential policies, and prevent the impact of w88 casino interruptions on real enterprises. At the same time, it is necessary to increase the approval and issuance progress of medium- and long-term loan projects and increase the proportion of medium- and long-term financing for enterprises.
The third is to properly handle the relationship between w88 casino banks and commercial banks. w88 casino financial institutions and commercial financial institutions must avoid cross-competition and form complementary cooperation. On the one hand, w88 casino financial institutions must adhere to the positioning of w88 casino functions, clearly define business boundaries, effectively serve key areas and weak links in national development, and prevent credit funds from flowing into real estate and other fields, causing unfair competition and crowding out effects on commercial financial institutions; on the other hand, w88 casino financial institutions should play a leading role in long-term, large-amount, low-interest funds, actively explore forms such as "wholesale fund on-lending", combine their w88 casino advantages and financial advantages with the network advantages and human resources advantages of commercial banks, and use leverage to leverage more funds to jointly help stabilize investment and employment.
3.The main path for w88 casino financial institutions to promote stable growth
At present, w88 casino financial institutions must combine support for the resumption of work and production with the expansion of domestic demand, increase the tilt of credit resources, and help achieve the dual goals of short-term stable growth and long-term high-quality economic development.
Focus on policy-based financial positioning to support the resumption of work and production. Policy financial institutions should focus on policy businesses, each with its own focus, and increase support for the relief work of real enterprises. The three policy financial institutions should make full use of the People's Bank of China's liquidity support policies such as re-loans and re-discounts to accurately support the resumption of work and production of private and small, medium and micro enterprises that have been greatly affected by the epidemic at preferential interest rates; the China Development Bank has set up a special loan of 250 billion yuan to support the high-quality development of the manufacturing industry, focusing on supporting the technological transformation of advanced manufacturing and traditional manufacturing industries. The next step is to rely on core enterprises in the manufacturing industry chain to innovate order financing, factoring financing, accounts receivable financing and other methods to support upstream, downstream, small and micro enterprises, and promote the "upstream, downstream, large-scale" industry chain. Small and medium-sized enterprises, production, supply and marketing" should resume work and production as a whole; the Export-Import Bank of China should introduce special support policies to stabilize foreign w88, appropriately expand the authorization of foreign w88 business of branches, increase the scale of w88 financing business, and actively respond to the impact of the epidemic on international industrial chains and supply chains; agricultural development Development banks should introduce special policies to support spring plowing preparations and "agriculture, rural areas and farmers", increase support for grain reserves and rural infrastructure to make up for shortcomings, fill the financing gap in commercial finance, meet the funding needs for the production of agricultural and sideline products during the epidemic, and make every effort to ensure my country's food security.
Adhere to market-oriented operation and support the construction of major projects. w88 casino financial institutions should focus on supply-side structural reforms, actively explore market-oriented ways to serve w88 casino businesses, cooperate with a package of macro policies, and increase financial support for key areas and major projects. The first is to connect major industrial investment projects with government departments at all levels to support "new infrastructure" such as 5G networks, digital centers, new industrialization and other areas with financing and to address shortcomings in the medical and health fields, while serving the two goals of stabilizing growth and building a modern industrial system. The second is to actively cooperate with special bonds issued by local governments to provide supporting loan financing for major government projects and increase budget leverage. It is necessary to innovate and build a new market-oriented financing model to realize the cultivation, development and management of projects without adding hidden liabilities to local governments. The third is to actively build a market-oriented financing cooperation mechanism to support stable growth, and cooperate with government departments and commercial financial institutions such as guarantee agencies, commercial banks, and insurance companies to explore various methods such as on-loan, syndicated loan, "financing + guarantee + interest discount" to support the resumption of work and production of enterprises.
Improve the internal governance structure and improve the efficiency of precise support. w88 casino financial institutions should take this epidemic prevention financing as an opportunity to establish a financial support mechanism for major disaster risks and improve their financial service capabilities to respond to global external shocks. First, the three major w88 casino financial institutions should, with the support of relevant national ministries and commissions, formulate systematic financial service plans to support this round of stable growth, appropriately expand the issuance scale of w88 casino financial bonds, adhere to the principle of "low in, low out", set up special preferential financing funds, and strengthen support for key, critical, emergency and other types of enterprises. The second is to optimize the internal credit and loan approval mechanisms, explore and establish green channels to support stable growth, and transform the advantages of w88 casino-based financial systems into the governance efficiency of the financial system. On the premise of compliance and risk control, we will moderately expand branch approval authority, lower loan thresholds and loan interest rates, and extend loan terms to support resumption of business enterprises in overcoming difficulties. The third is to make full use of financial technology means such as blockchain, big data, and cloud computing to improve internal risk control mechanisms, appropriately increase bad debt provisions, and ensure the stability of asset quality to maintain the stability of the financial system.
(Author: Qiu Zhaoxiang and Liu Yongyuan, both are researchers at the Beijing Research Center for Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era)
Original link:https://gmrb.cloud.gmw.cn/gmrb/html/2020-04/03/content_55119.htm?from=singlemessage
