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Smes In Wenzhou Face An Overly Tight Credit Crisis

2011/3/18 11:34:00 73

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Shoes Enterprises Increase Interest Rates And Foreign Trade

On March 18th, last month, the central bank announced that it would raise the benchmark of one-year lending and lending for financial institutions.

interest rate

After 0.25 percentage points, the announcement of the first interest rate increase in 2011 opened a prelude to further tightening the monetary policy of the Central Bank of China.

According to relevant media, the latest data show that the scale of foreign capital inflow in January will increase in the near future.

Gold rate

To relieve liquidity pressure.

According to the data released by China's central bank on Wednesday, in January this year, financial institutions increased their foreign exchange reserves by RMB 501 billion 600 million yuan, which was 403 billion 300 million yuan in December last year.

Since January 2009, China has raised the deposit reserve rate for the eight time, and has increased by 4 percentage points. The aim is to return excess liquidity and curb inflation.

Last Friday, some media quoted an unnamed source as saying that China was in February.

Bank

New loans in the industry are below 600 billion yuan (91 billion 300 million US dollars), far below the 1 trillion and 40 billion yuan in January.

The report said that the decline in new loans in February showed that a series of tightening measures adopted by the Central Bank of China have played a role in containing the expansion of domestic credit.

It can be expected that the tight cycle of monetary policy will continue, and interest rates will come again, which makes the small and medium-sized foreign trade enterprises that have just recovered from the financial crisis very worried.

The increase in lending rates is undoubtedly bad news for the shoe industry.

The industry believes that the continued increase in interest rates will inevitably increase the cost pressure of foreign shoe enterprises, compressing profit margins.

However, the effect of interest rate increase is gradual. Shoe enterprises should seize the time to develop business channels, develop new customers and shorten the capital chain.

In the long run, the pformation of traditional foreign shoe enterprises to comprehensive foreign trade enterprises is imperative.

The increase of labor cost and the rise of raw material prices have made many foreign trade enterprises go on thin ice, but the tightening of the silver roots and the improvement of the loan interest rate mean that the bigger difficulties are still ahead of the small and medium enterprises.

Continuous interest rate increase will increase the loan cost of enterprises, increase interest expense and other financial expenses, and then increase operating costs.

On the other hand, the interest rate increase will further promote the appreciation of the renminbi.

Ma Guangyuan, a researcher at the Venture Capital Research Institute of Peking University, pointed out that after the financial crisis, the foundation for the recovery of many small and medium enterprises in China is still not strong enough. If excessive credit is contracted, the SMEs will bear the brunt.