(Economic Observation) Lujiazui Forum Focuses on China's Plan for Economic Anti-epidemic
China News Agency, Shanghai, June 18 (Fan Zhonghua) "China cherishes the monetary and fiscal policies of the conventional state very much. We will not engage in flooding, nor will we engage in deficit monetization and negative interest rates." It was held on June 18. At the 12th Lujiazui Forum (2020), Guo Shuqing, Secretary of the Party Committee of the People's Bank of China and Chairman of the China Banking Insurance Regulatory Commission, said so.
In the context of the continuous spread of the new coronary pneumonia epidemic and the acceleration of the economic downturn, this Lujiazui Forum will inevitably face the global financial anti-epidemic and the globalization crisis brought about by the epidemic.
"To help accelerate the economic recovery, the world's major economies have introduced stimulus policies beyond expectations. It is foreseeable that in the post-epidemic period, global liquidity is full or even flooding is a high probability event." China Securities Regulatory Commission Chairman Yi Huiman pointed out.
Yi Huiman believes that in the face of this unprecedented crisis, China has received two enlightenments: First, deepening international cooperation is an inevitable choice for effectively responding to the global economic and financial crisis, "Global crises require global common solutions"; Second, professionalism Efficient policy coordination is the key to preventing the crisis from spreading into a vicious circle.
Yi Gang, governor of the People's Bank of China, said that during the epidemic, the People's Bank of China should always implement a prudent monetary policy and be more appropriately flexible.
Yi Gang introduced, mainly to expand the total supply through quantitative monetary policy tools, focusing on solving the problem of financing difficulty; through the interest rate market reform, to alleviate the problem of expensive financing; by increasing the write-off and disposal of non-performing loans of banks, to solve financial support entities The issue of economic sustainability; while maintaining the central bank's balance sheet is basically stable, it has achieved effective growth in monetary credit.
Yi Gang also reminded that the financial support policies during the epidemic response are phased. It is necessary to pay attention to the policy design to encourage harmonization, prevent moral hazard, pay attention to the sequelae of the policy, and moderate the total amount, and consider the timely withdrawal of policy tools in advance.
Yi Huiman believes that at present, China's economy and society are accelerating the recovery and development, and the financial industry and capital market generally maintain a stable operation. One is due to the firm expansion of opening up to promote reform and development through opening up; the second is to adhere to scientific supervision and fully respect On the basis of the law, it reflects the flexibility and temperature of supervision; the third is to strengthen the cooperation of all parties and focus on improving the effectiveness of financial governance.
"The pace of opening up of China's capital market has not only slowed down due to the epidemic, but has further accelerated." Yi Huiman said that under the epidemic, the internal logic of the international division of labor and the laws of the market have not fundamentally changed. The problem can only be solved in the development of globalization.
Yi Huiman said that in the face of difficulties, the financial industry must take the initiative and act actively. First, the capital market must shoulder the mission of helping higher levels of opening up. In the future, it will further optimize the Shanghai-Hong Kong Stock Connect mechanism and expand the investment scope and target of the Shanghai-Shenzhen Stock Connect; Further improve the Shanghai-London Connect business, broaden the interconnection of ETFs, jointly promote the construction of Shanghai's financial center, and support the consolidation of Hong Kong's status as an international financial center.
Second, the capital market must shoulder the mission of promoting innovation and transformation. Accelerate the introduction of science and technology board stocks into the Shanghai-Shenzhen Stock Connect, introduce a market maker system, study innovation systems that allow the transfer of IPO old stocks, and "give full play to the advantages of the capital market to promote the formation of innovative capital, and vigorously promote the technology industry and financial Continuous circulation will help the global industrial chain and supply chain achieve re-connection, re-optimization and re-consolidation."
Guo Shuqing said that today's world economy is highly integrated, and in the field of macroeconomic policies, the international community should strengthen communication and coordination to form synergies as much as possible to increase positive effects and reduce adverse effects.
Guo Shuqing reminded that, first, large economies should take the initiative to consider the spillover effects of their own policies, and consciously balance internal and external influences; second, the use of fiscal and financial stimulus measures should be considered carefully, and reserve some policy space for the future.
2020 is the year when Shanghai International Financial Center is basically completed. Pan Gongsheng, deputy governor of the People's Bank of China and director of the State Administration of Foreign Exchange, said that in the next step, he will continue to support Shanghai in optimizing the layout of multi-channel opening up and promote the common prosperity of the onshore and offshore markets; continue to support Shanghai in attracting more world-class institutions to settle down To promote Shanghai to become an important global wealth management and asset management market; continue to support Shanghai’s first implementation of a higher level of capital account opening. (Finish)