Central Bank Promotes Monetary Policy Tool Reform

The central bank is pushing ahead with a series of monetary policy tools reform.

According to sources, the central bank has formulated a set of standard differential deposit reserve ratio calculation methods. From 2011, the central bank will calculate and implement differential deposit reserve measures for banks, taking into account that commercial banks need to adjust their business structure for a certain period of time. The first three quarters will give commercial banks a gradual tolerance.

In addition, the central bank intends to reduce excess deposit reserve interest rate to reduce the cost of expenditure.

Dynamic adjustment of differential reserve ratio

Insiders say that 2011 is "

Close to the central bank's sources, the central bank's differential reserve dynamic adjustment is based on the total amount of social financing, especially the deviation between bank credit and economic growth and price index.

After determining the orientation of dynamic adjustment, the focus of dynamic adjustment of differential reserve is based on the impact of specific financial institutions on the overall economy.

The dynamic payment of differential reserves should take into account the systemic importance, capital adequacy ratio and prudent operation of financial institutions.

The formula set by the central bank is that the differential deposit reserve ratio paid by banks is equal to the difference between the capital adequacy ratio and the actual capital adequacy ratio calculated according to the macro prudent Prudential requirement, and then the robust adjustment parameters of the bank are taken.

A large bank official said that if commercial banks want to avoid being implemented differential reserves, they can take measures to reduce loan delivery, raise capital adequacy level and improve the level of stability.

In terms of specific operation, sources said that the initial implementation scope was considered in a nationwide financial institution.

In consideration of

For example, a bank should pay 3.5% of the differential deposit reserve in accordance with the estimate, giving a tolerance of 2% in the first quarter, and actually pay 1.5% of the differential reserve.

In terms of interest rates, the differential reserve will normally be paid in accordance with the statutory reserve requirement rate of 1.62%. However, if a bank's credit growth is too fast and is repeatedly required to pay differential reserves, the central bank will consider paying interest or excluding interest in excess of the Reserve interest rate (0.72%).

According to sources, institutions that are required to turn in the differential reserves should adjust their credit in time.

Brewing down excess deposit

Get ready

According to sources, the central bank also intends to reduce excess deposit reserve interest rates and reduce operating costs of the central bank.

Although China's reserve system has been adjusted several times, it has not abolished the practice of paying interest on reserves.

Depending on the legal reserve rate of 1.62% and the excess reserve interest rate of 0.72%, the major commercial banks can enjoy the benefits.

The industry believes that in the long run, the abolition of the deposit reserve interest rate is the general trend.

At present, the interbank offered interest rate formed on the basis of the deposit reserve interest rate is not a real market interest rate, which distorts the pricing of the entire interest rate system.

From the perspective of interest rate liberalization, we should gradually reduce the deposit reserve interest rate.

The central bank's brewing down the excess deposit reserve interest rate will be conducive to the further development of interest rate liberalization during the "12th Five-Year" period.