久久久无码人妻精品无码_6080YYY午夜理论片中无码_性无码专区_无码人妻品一区二区三区精99

USEUROPEAFRICAASIA 中文雙語Fran?ais
Business
Home / Business / Finance

Interest rate liberalization, a reform much needed

By Jia Kang and Meng Yan | bjreview.com.cn | Updated: 2013-08-19 10:37

A vital step

With "repressed" interest rates, commercial banks inevitably fall into a laggard operating and management state. Before the change in July, China had imposed both an upper limit on deposit rates and a lower limit on loan rates, which secured a stable and profitable interest margin for commercial banks.

As long as commercial banks run in an organized way and have basic credit risk prevention measures in place, they will generate stable revenue and won't bother innovating and becoming competitive.

Easy access to bank loans makes SOEs inefficient. In addition to management factors, low-cost loans are a major culprit behind their inefficiency. As many SOEs struggle with asset-liability ratios of more than 50 percent, interest payments account for a large share of their operating cost. As interest rates are lower than the cost of social funds, SOEs are not pushed to improve management and reduce overhead costs. In this sense, they lag far behind private or small and micro-sized businesses, which can only resort to high-cost private lending.

Low bank rates also undermine the growth of wealth. Large amounts of household deposits have hitherto been a major source of profits for commercial banks. To cope with economic volatility and uncertainty, Chinese residents, who are not used to taking risks, tend to deposit their savings in low interest bank accounts.

Therefore, it seems to be the inevitable choice to liberalize interest rates, which becomes an important link in China's financial system reform.

Liberalizing interest rates will give an impetus to China's capital market. The pricing system of social capital will be restructured, bank interest rates will return to market levels, and the bond and stock market will become more attractive to fund raisers.

In addition, the assets of commercial banks will also shrink. Fluctuating interest rates may generate negative interest margins, and then commercial banks will try to handle the swelling credit assets through operations like asset securitization, which will simultaneously expand the bond market. In short, commercial bank assets will witness a decline in the financial system.

Interest rate liberalization will reshuffle the credit structure of commercial banks. Large and competitive enterprises will be better positioned to win favor from investors in the capital market, and commercial banks will find it more difficult to absorb high-quality customers. In this way, they will take a fancy to small and medium-sized enterprises and more willingly lend them money.

Progressing steadily

China has been liberalizing interest rates gradually. While the floor on lending rates has been fully removed (although limits do remain on mortgages to help cool the housing market), the ceiling on deposits remains.

Now, China's interest rate reform has entered a new phase. Other support measures should be put in place to prevent the national economy and financial system from serious potential risks.

In the 20th century, an array of countries carried forward interest rate liberalization in a very cautious way. For instance, in the 1980s, the US interest rate reform lasted six years. Including the incubation period, it took 15 years for the country to liberalize interest rates.

Why is China so cautious about removing the upper limit on deposit rates?

First, if the upper limit is suspended, the price of social funds will promptly shoot up, which may deal a heavy blow to the financial system and normal operations of the economy, just like what happened to many economies during their periods of interest rate reforms.

Second, the government needs to make some preparations before calling off the upper limit, such as establishing a deposit insurance system and formulating laws regarding possible bankruptcies of financial institutions. By thoroughly unleashing deposit and loan rates, competition among commercial banks will intensify and there will be some losers in the end. Even when the United States underwent the interest rate liberalization, swaths of small and medium-sized banks went bust.

Hence, before interest rates are further liberalized, more steps are needed to establish a financial safety net.

External changes are needed to succeed, including adjusting the way local governments spend money, improving the operating and management of commercial banks and optimizing the capital market.

China will need to dampen the enthusiasm of local governments to spend on grandiose projects for the sake of generating high GDP growth. Commercial banks should also take steps to brace themselves for future interest rate risks. At the same time, the capital market should be upgraded to allow more room for the bond and stock markets to provide financial services.

Generally speaking, it will take a long time before China fully liberalizes interest rates. By learning from other countries and gradually loosening the deposit rate ceiling, China will finally achieve this goal.

Fully liberalizing interest rates will have the greatest impact on China's financial system and economic and social life.

Jia Kang is Director of the Research Institute of Fiscal Science under the Ministry of Finance; Meng Yan is an associate researcher at the Research Institute of Fiscal Science

Previous 1 2 Next

Most Viewed in 24 Hours
Copyright 1995 - . All rights reserved. The content (including but not limited to text, photo, multimedia information, etc) published in this site belongs to China Daily Information Co (CDIC). Without written authorization from CDIC, such content shall not be republished or used in any form. Note: Browsers with 1024*768 or higher resolution are suggested for this site.
License for publishing multimedia online 0108263

Registration Number: 130349
FOLLOW US
 
久久久无码人妻精品无码_6080YYY午夜理论片中无码_性无码专区_无码人妻品一区二区三区精99

    av在线一区二区| 成人福利视频在线| 久久久久国产成人精品亚洲午夜 | 亚洲一区二区三区在线看| 91麻豆成人久久精品二区三区| 亚洲特级片在线| 在线免费不卡视频| 亚洲最新视频在线播放| 欧美精品1区2区| 国产呦萝稀缺另类资源| 国产精品麻豆网站| 欧美在线一区二区| 美脚の诱脚舐め脚责91| 久久综合色8888| 99re8在线精品视频免费播放| 亚洲国产成人porn| 日韩精品一区二区三区在线播放 | 国产欧美一区二区精品性| 99re8在线精品视频免费播放| 亚洲18影院在线观看| 精品入口麻豆88视频| 成人网男人的天堂| 亚洲无线码一区二区三区| 日韩免费电影网站| 99re免费视频精品全部| 欧美a级理论片| 国产精品视频第一区| 精品视频1区2区3区| 狠狠久久亚洲欧美| 亚洲美女屁股眼交| 日韩精品专区在线影院重磅| 成人午夜碰碰视频| 天天色综合成人网| 亚洲国产精品ⅴa在线观看| 欧美日韩在线一区二区| 国产乱子伦视频一区二区三区 | 中文字幕免费不卡| 欧美日韩综合在线| 国内外成人在线| 一区二区日韩av| 久久免费精品国产久精品久久久久| 一本到不卡精品视频在线观看| 免费不卡在线观看| 亚洲欧美偷拍三级| 精品国产伦一区二区三区观看方式| 91丨九色丨国产丨porny| 美女一区二区三区在线观看| 亚洲欧美激情在线| 久久久久久久国产精品影院| 欧美日韩一区不卡| 成人av在线电影| 美女在线一区二区| 亚洲另类在线一区| 久久精品网站免费观看| 制服视频三区第一页精品| 99久久国产综合精品女不卡| 韩国一区二区三区| 午夜婷婷国产麻豆精品| 中文字幕综合网| 久久一留热品黄| 欧美久久一二区| 色综合久久久久综合体| 国产黑丝在线一区二区三区| 日韩av午夜在线观看| 亚洲欧美激情小说另类| 国产精品色哟哟| 2024国产精品视频| 91精品欧美综合在线观看最新 | 久久久精品黄色| 宅男在线国产精品| 91看片淫黄大片一级在线观看| 国产精品综合一区二区| 日本成人中文字幕在线视频| 亚洲综合另类小说| 自拍偷自拍亚洲精品播放| 国产婷婷色一区二区三区在线| 日韩欧美中文字幕一区| 欧美日精品一区视频| 色老汉av一区二区三区| av在线这里只有精品| 粉嫩久久99精品久久久久久夜| 久久99精品国产.久久久久久| 天涯成人国产亚洲精品一区av| 亚洲黄色av一区| 亚洲同性gay激情无套| 国产精品剧情在线亚洲| 国产婷婷色一区二区三区在线| 久久亚洲捆绑美女| 精品久久久久久久久久久久久久久| 欧美精品777| 91精品国产品国语在线不卡| 欧美日韩国产一级片| 欧美午夜精品免费| 欧洲一区二区av| 色欲综合视频天天天| 色综合久久88色综合天天| 色悠久久久久综合欧美99| 99re66热这里只有精品3直播 | 欧美三级电影精品| 欧美日韩国产高清一区二区 | 夜夜爽夜夜爽精品视频| 亚洲欧美另类图片小说| 一区二区三区四区五区视频在线观看 | 久久激情综合网| 久久精品国产久精国产爱| 美女精品一区二区| 麻豆精品久久久| 久久99国产精品久久99 | 在线视频欧美精品| 欧美天堂亚洲电影院在线播放| 欧美在线啊v一区| 欧美日韩日日夜夜| 制服丝袜亚洲播放| 精品国产一区久久| 国产三级精品在线| 国产精品久久久久久久第一福利| 中文字幕一区二区三区av| 亚洲女人小视频在线观看| 亚洲综合小说图片| 天堂精品中文字幕在线| 免费高清不卡av| 国产精品一区二区久久不卡| 成人精品一区二区三区四区| 91在线porny国产在线看| 欧美在线不卡视频| 欧美一级理论性理论a| 久久亚洲精品小早川怜子| 中文字幕永久在线不卡| 一区二区欧美国产| 蜜臀av性久久久久蜜臀aⅴ| 狠狠色2019综合网| 94-欧美-setu| 欧美精品乱码久久久久久按摩| 日韩视频中午一区| 国产蜜臀av在线一区二区三区| 亚洲欧美综合在线精品| 亚洲成av人片一区二区三区| 久久精品国产澳门| 成人性生交大片免费看视频在线| 色天天综合色天天久久| 欧美精品久久99久久在免费线| 精品精品国产高清a毛片牛牛 | 国产亚洲短视频| 亚洲同性同志一二三专区| 天堂精品中文字幕在线| 国产在线一区观看| 91麻豆国产在线观看| 欧美久久一二区| 国产欧美一区二区三区网站 | 蜜臀国产一区二区三区在线播放| 国内精品第一页| 一本色道久久综合亚洲精品按摩| 91精品国产丝袜白色高跟鞋| 国产午夜精品一区二区三区嫩草 | 欧美性感一区二区三区| 日韩欧美亚洲国产另类| 国产精品久久久久毛片软件| 亚洲电影第三页| 国产成人在线免费| 在线观看www91| 久久新电视剧免费观看| 一区二区三区蜜桃| 狠狠色丁香婷婷综合久久片| 日本韩国精品一区二区在线观看| 日韩欧美国产一区在线观看| 亚洲欧洲精品天堂一级| 久久成人av少妇免费| 色综合久久精品| 精品国产伦理网| 亚洲午夜一区二区三区| 国产激情视频一区二区三区欧美| 欧美性大战久久久久久久蜜臀| 久久精品亚洲一区二区三区浴池| 亚洲成人动漫一区| 国产精品一线二线三线| 欧美日韩视频在线一区二区| 久久精品视频网| 丝袜美腿亚洲一区二区图片| 成人高清免费观看| 日韩欧美高清一区| 一区二区三区四区av| 国产另类ts人妖一区二区| 欧美日韩国产在线观看| 最近日韩中文字幕| 国产乱一区二区| 69p69国产精品| 亚洲伦理在线免费看| 国产精品77777| 8v天堂国产在线一区二区| 日韩一区在线免费观看| 精品系列免费在线观看| 欧美精品一二三| 一区二区三区四区亚洲| 成人免费va视频| 精品99一区二区| 日本欧美肥老太交大片| 欧美亚洲日本国产| 亚洲欧美在线另类| 国产成人小视频| 精品久久五月天|