Recently, the People's Bank of China, the China Banking and Insurance Regulatory Commission, and the China Securities Regulatory Commission held mid-year meetings to summarize the work in the first half of the year and make arrangements for key tasks in the second half of the year.

Experts believe that the meeting involved key words such as monetary policy, real estate credit, risk of small and medium-sized banks, and overseas listing of enterprises, and released the latest policy signals.

With the implementation of a series of policies, the financial market has a solid foundation for maintaining overall stability.

  Keep liquidity reasonably adequate

  On August 1, the central bank's work conference for the second half of 2022 held that since the beginning of this year, new results have been achieved in all aspects of work.

The implementation of the prudent monetary policy has been further strengthened. At the end of June, the growth rate of broad money (M2), social financing scale, and RMB loan balance exceeded 10%; 23 policies and measures for economic and social development; financial international cooperation has been advanced in depth, and the RMB has successfully passed the first review since joining the International Monetary Fund’s Special Drawing Rights currency basket, and its weight has risen from 10.92% to 12.28%.

  The meeting put forward seven major work priorities for the second half of the year, including maintaining a stable and moderate growth of money and credit, steadily resolving risks in key areas, improving the macro-prudential management system, deepening financial market reform, steadily improving the level of RMB internationalization, deeply participating in global financial governance, and continuously improving Financial services and management level, etc.

  Among them, the meeting emphasized the need to comprehensively use a variety of monetary policy tools to maintain reasonable and sufficient liquidity.

Guide financial institutions to increase loans to the real economy, and maintain sustained and steady growth of loans.

Zhao Xijun, co-director of the China Institute of Capital Markets at Renmin University of China, introduced that this has released a clear signal that the central bank will use various policy tools such as credit issuance and liquidity provision to stabilize the economic market and ensure stable economic growth in the second half of the year.

  Wang Qing, chief macro analyst at Oriental Jincheng, believes that in the second half of the year, the implementation of monetary policy will be mainly reflected in the implementation of existing policy measures, including giving full play to the potential of various structural policy tools and guiding policy development banks to implement them well. 800 billion yuan of new credit scale and 300 billion yuan of financial instruments were established.

  Promote the steady and healthy development of the real estate market

  The "One Bank and Two Sessions" made clear arrangements for the key work in the real estate sector in the second half of the year.

The central bank proposes to prevent and defuse the risks of small and medium-sized banks; implement differentiated housing credit policies according to city-specific policies; maintain the stability of financing channels such as real estate credit and bonds, and accelerate the exploration of new development models for real estate.

The China Banking and Insurance Regulatory Commission proposed to support local governments to do a good job in "guaranteeing and handing over buildings" to promote the stable and healthy development of the real estate market.

  "In the first half of the year, there were new changes in the risk situation in the real estate market. Some real estate development companies faced greater pressure in terms of capital stability, and even had debt defaults." Zhao Xijun said, "These policies issued by the central bank and relevant regulatory authorities It is timely and targeted, and will play a positive role in blocking the transmission and diffusion of risks and maintaining the stable and healthy development of the real estate market."

  Mingming, chief economist of CITIC Securities, believes that by guiding the 5-year LPR quotation down, it can reduce the mortgage interest rate and help stabilize the real estate market.

  Zhao Xijun said that, in general, in the second half of the year, we should adhere to the positioning that houses are for living, not for speculation, and make full use of the policy toolbox to support rigid and improved housing needs, and compact the responsibilities of local governments. , to ensure the delivery of buildings and stabilize people's livelihood.

  Fully implement a package of measures to stabilize the economy

  Focusing on financial efforts to stabilize the economy in the second half of the year, the central bank meeting proposed to adhere to the general principle of seeking progress while maintaining stability, maintain the overall stability of the financial market, consolidate the trend of economic recovery, and implement policies and measures to stabilize employment and prices. Investment plays a key role in keeping the economy operating within a reasonable range.

  The meeting of the China Banking and Insurance Regulatory Commission demanded that stabilizing the macroeconomic market should be placed in a more prominent position, better play the role of financial counter-cyclical adjustment, and fully implement a package of policy measures to stabilize the economy.

Strengthen the stabilization and relief of enterprises, and take the initiative to make continuous financing arrangements for enterprises in the catering, accommodation, cultural tourism, transportation and other industries.

  The CSRC meeting proposed to better serve the overall situation of stable growth.

While grasping the implementation of the measures that have been introduced, focus on key areas and weak links such as technological innovation, private enterprises, and small and medium-sized enterprises, and study and introduce more and more powerful support measures.

Steadily expand the pilot scope of REITs, accelerate the normalized issuance, and promote the revitalization of stock assets.

Give play to the role of the capital market as the main channel for mergers and acquisitions, strengthen the linkage of multi-level markets such as exchanges, the New Third Board, and regional equity markets, and help optimize and adjust the economic structure.

  The China Securities Regulatory Commission said that it will further improve the bond financing support mechanism for private enterprises, and focus on improving the availability and convenience of debt financing for the private economy and small and medium-sized enterprises. The implementation of pilot projects for affordable rental housing and private enterprises will help accelerate the formation of a virtuous cycle of existing assets and new investment; together with relevant parties, deepen the interconnection of bond market infrastructure, improve the market-based legal bond default disposal mechanism, and accelerate the establishment of a system A sound, competitive, transparent and open bond market system.

At the same time, further improve the futures market variety system, promote more real enterprises to participate in the futures market, strengthen the joint supervision of futures and cash, and better help ensure the overall situation of supply and price stability.

  Zhao Xijun believes that facing the pressure of the external environment, it is necessary to take a series of measures to stabilize the economic market and enhance development confidence.

In the second half of the year, we should further increase financial services to the real economy to help stabilize the economy.

Kong Dechen

Kong Dechen