w88 casino News Network (provided by China Institute of Finance)On the afternoon of October 19, the China Institute of Finance held the second China-US Banking Industry Roundtable Dialogue. The dialogue invited guests such as Professor Allen Berger of the University of South Carolina, Professor Wen Bin, Chief Economist and Research Institute Dean of China Minsheng Bank, Professor Luo Yu, Deputy Secretary of the Party Committee of the w88 casino of Finance of Renmin University of China, Researcher Li Guangzi, Director of the Banking Research Office of the Institute of Finance, Chinese Academy of Social Sciences, Professor Li Weiping of the w88 casino of Software and Microelectronics of Peking University, Associate Professor Sun Yuchen of the China Institute of Finance and other guests to participate in the roundtable discussion. More than 50 teachers and students from China University of Finance and Economics, including Professor Zhang Haiyang, Vice President of China University of Finance and Economics, Associate Professor Lu Liping of w88 casino of Finance of Renmin University of China, Associate Professor Fan Zhongjie and Lecturer Guo Jiarui of China University of Finance and Economics, attended the roundtable meeting. The meeting was chaired by Associate Professor Kuang Chun from the Department of Banking Management of China University of Finance and Economics.
Zhang Haiyang expressed his warm welcome and sincere thanks to all the guests in his speech. He said that the global banking industry is currently at a critical stage of profound change. The rapid development of digital technology, global economic uncertainty, and increasingly prominent environmental and sustainability risks are reshaping banks' business models and placing higher requirements on supervision. This Sino-US banking roundtable dialogue brings together outstanding representatives from academia, industry and policy departments to discuss the opportunities and challenges faced by the Sino-US banking industry in the new era by reviewing the past and looking forward to the future.
Professor Allen Berger shared research on the effectiveness of the implementation of the Federal Reserve’s Bank Term Financing Program (BTFP). He pointed out that the collapse of Silicon Valley Bank in 2023 revealed the vulnerability of bank asset-liability mismatches in a high interest rate environment. The BTFP program launched by the Federal Reserve provided liquidity support in the form of "mortgage at par value, risk-free markup", which effectively alleviated the pressure of deposit outflows and partially offset the effect of credit contraction. Professor Berger emphasized that this experience provides important implications for global financial regulators on how unconventional liquidity policies can maintain the stability of financial intermediaries.
Professor Wen Bin conducted analysis on the theme of restructuring the balance sheets of commercial banks under the dual circulation pattern. He pointed out that my country is currently accelerating the construction of a new dual-circulation development pattern, and the banking industry should also actively respond to the requirements of high-quality economic development in my country and strive to do the "five major articles" to promote the transformation and development of the banking industry and the reconstruction of balance sheets. On the one hand, we continue to consolidate the core liability foundation on the liability side; on the other hand, on the asset side, we continue to increase support for technological innovation, inclusive finance, green finance, consumption boost and other fields, further enhance the quality and efficiency of serving the real economy, and promote the development of the financial system in a more stable and sustainable direction.
Professor Luo Yu shared research results from the perspective of the role of bank branch networks in monetary policy transmission. He pointed out that although financial technology has accelerated the digital transformation of banks, the geographical diversity of physical branches still plays an important role in buffering the tightening of monetary policy and stabilizing the source of deposits. Banks with more dispersed branches are better able to resist capital outflows and maintain credit supply, thereby improving the system's resilience to shocks. He suggested that while promoting digitalization, it is still necessary to pay attention to the stable functions of bank physical branches to prevent regional liquidity risks.
Researcher Li Guangzi gave a speech based on the risk characteristics and governance mechanisms of small and medium-sized banks. He pointed out that the current overall risk level of small and medium-sized banks is controllable, but declining profitability, rising liquidity risks and increasing non-credit risks are worthy of vigilance. He emphasized that the market-oriented exit and merger and reorganization mechanism of small and medium-sized banks should be further improved, a multi-level non-performing asset disposal market should be established, and their sustainable operating capabilities should be enhanced through differentiated supervision and capital replenishment policies.
Professor Li Weiping gave a speech on the application of artificial intelligence in credit risk management of small and medium-sized enterprises. He introduced an enterprise credit risk prediction system based on graph neural network (GNN) and large language model (LLM). By constructing a multi-dimensional map of inter-enterprise investment, guarantees and capital flows, higher-precision default identification was achieved. With the assistance of artificial intelligence, banks can improve the efficiency of credit decision-making while maintaining compliance and privacy protection, injecting new momentum into inclusive finance.
Associate Professor Sun Yuchen discussed the three foundations of the development of the banking industry from a historical and institutional perspective: technology, talent and trust. She pointed out that the spread of information technology such as telegraphs reduced transaction costs, the abolition of imperial examinations released talent dividends, and patriotism played a unique role in establishing trust in the early financial system. This historical experience enlightens us that in the era of digital finance, trust is still the core asset of the financial system, and financial trust should be reshaped through institutional transparency, algorithmic fairness and public communication mechanisms.
The meeting finally entered the round table discussion and exchange session. Teachers and students discussed issues such as "Regional Bank Risks and Bank Stability Mechanisms" and "The Value of Bank Outlets and the Development of Small and Medium-sized Banks" with on-site guests. The meeting ended successfully in a warm atmosphere.(Written by: Fan Zhongjie Reviewed by: Wang Maobin)
