Ge: To Deal With Usurious Loans, Not To Throw Stones Or Stones.

Historical experience and financial theory have long proved that long-term negative interest rates must be driven.

Zhejiang's folk finance has a long history. Since the Sui and Tang Dynasties, there have been such trends as "meeting", "Taiwan meeting" and "bidding meeting".

Wenzhou is also known as "capital city". "Real estate group" and "fried coal group" have long known the four sides. Over the past more than 10 years, there have been illegal fund-raising cases such as "Yueqing meeting case", "Pingyang water head meeting case" and "Fan Shan link" case.

In this year's craze for "all the usury", private lending in Wenzhou has gone crazy.

Zhou Dewen, President of Wenzhou SME Development Association, believes that the current rate of private lending in Wenzhou has exceeded the highest historical value. The annual interest rate is as high as 180%. The annual gross profit margin of most small and medium enterprises is between 3% and 5%, which is simply unbearable.

"Now private lending has reached a very dangerous time, and I expect that at the end of this year, the public will be in the middle of this year.

The nominal interest rate is lower than the inflation rate for a long time, which is the precondition of "universal lending", but it does not mean that the local government can sit idly by.

According to the current law, private lending is prohibited between enterprises. The highest interest rate of citizens' participation in loans is no more than 4 times the interest rate of similar loans of banks.

Although the law does not clearly stipulate the standard of usury, the proper private lending and the "money game" are not difficult to distinguish whether the lending interest rate is far greater than the gross profit margin, and pyramid selling and pyramid type usury financing are not difficult to distinguish.

Apart from specific cases, when local governments find that the local private lending rates are unusually high, they should timely "hand out", including warning the public, investigating pyramid schemes for illegal fund-raising, regulating pawnshops, lending Guarantee Corporation and small loan companies, and so on, instead of waiting for the usurious loan to "burn the pot" to "clean up" the mess.

There are deep reasons for the policy, system and history of the "universal lending". However, the "fanaticism", "middle heat" and "warm" in different parts of the country prove at least that the local government's status is also a key factor.

If we only see the short term positive effects of "active local economy" and "capital depression", we do not realize that the "speculation game" will eventually become a bubble and let the real economy lose a lot of blood in the long term.

The crisis of usury has become, how to test the wisdom of the local government by the "demolition and explosion", and the drug and stone throwing can not only "fail to detonate", but will add chaos to chaos.

For example, we should not put forward the "rescue market" in a vague and general way, forcing banks to blindly lend money to enterprises to tide over difficulties, instead, they should guide the capital to normal production and products sold enterprises.

In the future, it is tempting for the "benefits" to allow financial institutions to violate credit discipline loans. In fact, it is to let state-owned commercial banks, shareholders of listed companies, bank depositors and taxpayers pay the "money game".

For example, usury is a high-risk investment behavior, and the "money game" is not protected by law. Therefore, it is necessary to crack down on violent debt collection (violation of personal violence in any case), and also to the lenders and investors involved in the "money game".

Local governments should be vigilant against the usurious loan "burst pot", which is a distortion of government behavior by interest groups.

According to media reports, when investigating illegal fund-raising cases, some localities found that the list of creditors was mostly local judiciary.

"With the outbreak of a series of usury events, the entry and exit path of" official bank "has become clearer and clearer.

"Official silver" is a popular name for officials' funds in the Yangtze River Delta region.

If the "government silver" affects the local government's "bailout", the consequences will be more than just "explosion pot", but "fried pot".