Pratt & Whitney is more warm, breaking the problem, transforming and innovating, and the banking industry is integrated into the "bones" of the real economy

time:2023-01-28 13:46:34 source:clevelanddrifters.com author:Market analysis
Pratt & Whitney is more warm, breaking the problem, transforming and innovating, and the banking industry is integrated into the "bones" of the real economy

"ICBC, China Merchants Bank, and China CITIC Bank have all handled loan renewals for us without principal repayment, and the flow of funds has not been cut off, which has greatly eased our operating pressure." said Zhou Jie, head of a shared office platform headquartered in Shanghai. After the test of the epidemic, with various relief measures for the bank in place, he is full of confidence in the future business development. "Economy is the body, finance is the blood, and the two coexist and prosper." Since the 18th National Congress of the Communist Party of China, my country's banking industry has focused on returning to its origins, focusing on its main business, and gradually forming a virtuous circle with the real economy, and its comprehensive strength has been continuously enhanced. Data show that in the past ten years, the average annual growth rate of inclusive small and micro enterprise loans and inclusive agriculture-related loans has been higher than the average annual growth rate of loans, and the total assets of the banking industry ranks first in the world. Serving the real economy The office space operated by Zhou Jie is located in first-tier cities such as Beijing, Shanghai and Shenzhen, mainly providing office space for small and micro enterprises and studios. The spread of the epidemic has caused his company to experience a huge test. The recent promotion of inclusive financial services and exclusive loan products by some banks has made Zhou Jie see the light. Zhou Jie's case is only the "tip of the iceberg" of the banking industry serving the real economy. In the past ten years, the banking industry has shifted from the virtual to the real, and the asset structure has been more in line with the needs of the real economy, and a virtuous circle between finance and the real economy has gradually formed. Xiao Yuanqi, vice chairman of the China Banking and Insurance Regulatory Commission, said that in the past ten years, the average annual growth rate of bank loans was 13.1%, which basically matched the growth rate of nominal GDP. The average annual growth rate of inclusive small and micro enterprise loans and inclusive agriculture-related loans reached 25.5% and 14.9% respectively, higher than the average annual growth rate of loans. There are about 9.5 bank accounts per capita, and the coverage and accessibility of inclusive finance have been significantly improved. Financial vitality should not only flow to the real world, but also strive to cover more people and improve residents' sense of gain, happiness and security. "In the past ten years, with the help of emerging Internet technology, the efficiency of the banking industry in serving the common people has been significantly improved, the product supply has become more abundant, and the service cost has been significantly reduced. For example, there is no need to wait in long lines for business transactions, loans are easier to obtain, and loan interest rates are lower. It will also help the common people to solve problems such as weddings, funerals, schooling, and tourism." said Wang Yifeng, chief analyst of the banking industry of Everbright Securities. In mid-July this year, Zou Lan, director of the Monetary Policy Department of the People's Bank of China, revealed at a press conference on financial statistics in the first half of 2022 that the corporate loan interest rate from January to June was 4.32%, down 0.31 percentage points year-on-year, and continued to be stable. There is a drop. "Precise bomb disposal" to effectively prevent and resolve financial risks "Safely handle the risks of small and medium-sized financial institutions such as Jinzhou Bank and Hengfeng Bank, Liaoshen Bank, Shanxi Bank, and Sichuan Bank have successfully opened, and the number of high-risk small and medium-sized financial institutions has continued to drop significantly." Tan And the development achievements of the banking industry in the past ten years, said Sun Tianqi, director of the Financial Stability Bureau of the People's Bank of China. In the past ten years, the banking industry has also established a deposit insurance system and a financial stability guarantee fund to maintain my country's financial stability and security. On May 1, 2015, the "Regulations on Deposit Insurance" came into effect, making it more lawful to protect the rights and interests of depositors. In 2022, the Financial Stability Guarantee Fund will be established, which will operate and cooperate with the Deposit Insurance Fund and related industry guarantee funds on two levels, and will become an important part of my country's financial safety net. According to Sun Tianqi, at present, the basic framework of the Financial Stability Guarantee Fund has been initially established, and the first batch of 64.6 billion yuan has been raised. "Precision bomb disposal" is one of the key words for the development of the banking industry. Data show that in the past decade, high-risk shadow banking has dropped by about 25 trillion yuan from its historical peak, and accumulated non-performing assets of 16 trillion yuan. The banking industry has made great strides in the disposal of non-performing assets, and the blind expansion of financial assets has been fundamentally reversed, safeguarding the lifeline of asset quality. Wen Bin, chief economist of China Minsheng Bank, said that the development foundation of my country's banking industry has been significantly consolidated, and the balance sheet structure has become more stable. By reshaping the balance sheet, financial risks in the banking industry have gradually shifted from divergence to convergence. Xiao Yuanqi introduced that the contagiousness and spillover of prominent risk points have shrunk significantly, and the risks of illegal financial groups have been prudently resolved and dismantled. Over the past ten years, more than 600 high-risk small and medium-sized bancassurance institutions have been restored and disposed of. In addition, mergers and reorganizations have effectively reduced inefficient competition among peers, avoided risk spillovers, improved the ability of financial services to serve local economies, and promoted small and medium-sized banks to look new. "After centralized rectification, financial chaos in key areas has been effectively dealt with, and at the same time, regulatory shortcomings have been continuously supplemented, and the long-term mechanism for preventing and resolving financial risks is being improved. Therefore, local risks have developed into systemic risks, and regional risks have evolved into national risks." said Wang Qing, chief macro analyst at Dongfang Jincheng. Reform and innovation burst out new vitality for growth. On the one hand, we reformed domestically, and on the other hand, we opened up to the outside world, and the banking industry continued to burst into new vitality. "In the past ten years, after several rounds of reform, the historical burden of rural credit cooperatives has been greatly reduced, the corporate governance structure has been gradually improved, the operational strength and management level have been significantly improved, and the financial service capability has been greatly improved. As a practitioner and researcher in the banking industry for many years, Dong Ximiao, chief researcher of China Merchants Union Finance, expressed a lot of emotion. Dong Ximiao told a reporter from China Securities Journal that in early 2020, the China Banking and Insurance Regulatory Commission issued a document to promote a new round of reform of rural credit cooperatives. In October 2021, the pilot implementation plan for deepening the reform of rural credit cooperatives in Zhejiang Province was approved by the State Council. In February 2022, the China Banking and Insurance Regulatory Commission approved the establishment of Zhejiang Rural Commercial Union Bank. In April 2022, Zhejiang Rural Commercial Union Bank was established, marking the official landing of the "first order" to deepen the reform of rural credit cooperatives nationwide. In July 2019, the Office of the Financial Stability and Development Committee of the State Council issued the "Relevant Measures on Further Expanding the Opening-up of the Financial Industry", allowing overseas asset management institutions to jointly establish foreign-controlled wealth management companies with subsidiaries of Chinese banks or insurance companies. Since then, BOC Wealth Management, CCB Wealth Management, Bank of Communications Wealth Management, and ICBC Wealth Management have successively established joint venture wealth management companies, and the innovation capabilities and financial service capabilities of domestic wealth management companies have continued to improve. In terms of opening up, on September 10, 2021, the "Guangdong-Hong Kong-Macao Greater Bay Area "Cross-border Wealth Management Connect" Business Pilot Implementation Rules" was officially released. Zhang Lixing, director of the Shenzhen Banking and Insurance Regulatory Bureau, revealed that since the pilot program was launched in September 2021, the “Cross-border Wealth Management Connect” has started smoothly. "Currently, the number of foreign-funded financial institutions in Shenzhen is second only to Shanghai and Beijing, and a system of foreign-funded financial institutions with complete types and functions has been formed." Speaking of the development of Shenzhen's banking industry in the past ten years, Zhang Lixing said that among foreign-funded banks in Shenzhen, Hong Kong is the most The proportion of assets, deposits and loans, and net profit of capital-funded banks exceeds 70%, and Shenzhen has become the city with the highest concentration of Hong Kong-funded banks. The tide is flat and the banks are wide, and the wind is hanging. Xiao Yuanqi said that in the next step, the China Banking and Insurance Regulatory Commission will continue to work hard from four aspects: continuously optimize the financial structure and system; deepen the reform of banking and insurance institutions; further enhance the endogenous risk prevention and control capabilities of banking and insurance institutions; and build a financial supervision system with Chinese characteristics. The system ensures that all financial activities are included in the supervision, and establishes a full-chain and all-round supervision mechanism arrangement before and after the event.

(Responsible editor:Education stock)

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