Central Bank: Monetary Policy Should Be More Flexible, Moderate And Precise In The Second Half Of The Year

On August 3, the people's Bank of China held a teleconference on the work of the second half of 2020. The meeting required that the people's Bank of China should comprehensively implement the decision-making and deployment of the Party Central Committee and the State Council, adhere to the general keynote of seeking progress in stability, adhere to the new development concept, take the supply side structural reform as the main line, do a solid job in the "six stability" work, fully implement the "six guarantees" task, and adhere to the general principle of "six guarantees" We should make efforts to stabilize enterprises, ensure employment, prevent and resolve major financial risks, speed up the deepening of financial reform and opening up, and promote the healthy development of economy and finance.

First, the monetary policy should be more flexible, moderate and precise oriented, and the policies that have been issued to stabilize enterprises and ensure employment will be implemented effectively. We should use a variety of monetary policy tools to guide the growth of broad money supply and social financing scale significantly higher than last year. At the same time, we should pay attention to grasp the rhythm, optimize the structure, and promote the substantial growth of loans for inclusive small and micro enterprises and medium and long-term loans for manufacturing industry. We should focus on the implementation of the 1 trillion yuan re loan and rediscount policy and the two direct tools. We should extend as much as possible to include the small and micro enterprises affected by the epidemic as much as possible. At the same time, we should not respect the principle of small business, but also adhere to the principle of small business. We should do a good job of periodical supervision, evaluation and acceptance, promote the obvious reduction of financing costs of enterprises, and effectively promote the financial system to make profits to enterprises.

Second, keep the bottom line and continue to fight the three-year battle to prevent and resolve major financial risks. We will continue to promote the completion of the three-year battle as scheduled in accordance with the established arrangements of the CPC Central Committee and the State Council, as well as the specific requirements of the financial commission, and turn to the normalization of risk prevention and control and risk disposal. We will speed up efforts to make up for the shortcomings of the financial risk handling system and improve the emergency response mechanism for major financial risks. We will implement the accountability requirements of the financial commission of the State Council, implement accountability for the formation and disposal of major financial risks, and further consolidate the responsibilities of all parties. We will strengthen the protection of financial consumption rights and interests. We should strengthen risk monitoring and assessment and pay close attention to marginal changes in financial risks. The deposit insurance system should play a full role.

Third, we will unswervingly promote the steady and orderly opening up of the financial industry. We will continue to implement the announced financial opening measures. We will promote the full implementation of the pre admission national treatment plus negative list system. We will actively and steadily promote the internationalization of RMB and the convertibility of capital account, and unify the foreign exchange management policies for the opening of the bond market to the outside world. We should deeply participate in global financial governance and earnestly safeguard multilateralism.

Fourth, continuously deepen the reform of financial system and mechanism. Conscientiously fulfill the responsibilities of the financial commission office and promote the implementation of various measures for financial reform. We should support local governments to take the resolution of regional financial risks as the goal, act according to their ability, and deepen the market-oriented reform of rural financial institutions. In promoting the reform, it is necessary to maintain the overall stability of the legal person status of county-level rural financial institutions and the integrity of China's financial organization system. We will promote the capital replenishment of small and medium-sized banks, and focus on increasing the support for small and medium-sized banks to issue capital replenishment bonds. We will deepen the reform of development oriented policy oriented financial institutions. We will continue to take the lead in promoting key legislation in the financial industry and deepen the reform of "regulation and service".

Fifth, continue to do a good job in financial management and financial services. The financial poverty alleviation work at the closing stage should be well coordinated. We carefully organized and drafted the "14th five year plan" financial reform and development plan. We will deepen the pilot projects of green finance, Inclusive Finance and scientific innovation finance. We will improve the statistical system of local financial organizations. We will promote the construction of a modern accounting and financial system for the central bank. We will steadily and prudently promote the pilot project of integrating domestic and foreign currency bank accounts. We will accelerate the improvement of the regulatory framework for financial technology. Improve the quality of Treasury accounting. We will promote the interconnection of credit reporting. Effectively carry out anti money laundering supervision, investigation, monitoring and analysis according to law. Actively and steadily promote the development of legal digital currency. We will speed up the establishment of a transaction reporting system covering the whole market and a total transaction reporting database.