Can The Liquidity Of The Central Bank Be Reduced To The Real Economy?

In order to further support the development of the real economy, optimize the liquidity structure and reduce the cost of financing, the central bank announced a 1 percentage point reduction in the evening of January 4th.

Among them, in January 15, 2019 and January 25th, respectively, down 0.5 percentage points, while the first quarter of 2019, the medium-term credit facility (MLF) no longer continue to do.

According to the analysis, the purpose of this reduction is to better serve the real economy, effectively alleviate the financing difficulties of enterprises, especially private enterprises and small and micro enterprises, which has attracted the attention of many manufacturing enterprises.

Central bank interpretation said, "help the real economy to reduce costs".

1. how much money will be released in the interim loan?

A: the release of the fund will be about 1 trillion and 500 billion yuan, plus the funds to be released from the convenient operation of the targeted medium term lending and the dynamic assessment of the general direction of the universal finance. Then, considering the factors that will not be continued in the first half of this year, the net release of long-term funds will be about 800 billion yuan.

Does the 2. reduction mean a change in the direction of sound monetary policy?

Answer: this reduction is still a directional regulation, not flood irrigation, stable monetary policy orientation has not changed.

The implementation of the quasi reduction policy is implemented in two stages, which is compatible with the rhythm of cash supply before the Spring Festival. It is conducive to maintaining a reasonable balance of the total liquidity of the banking system, and taking into account the internal and external equilibrium. It helps maintain the basic stability of the RMB exchange rate at a reasonable and balanced level.

3. how to support the real economy?

Answer: the RRR and related operations have released about 800 billion yuan of long-term incremental funds, which can effectively increase the sources of loans for small and micro enterprises and private enterprises.

In the interim, the loan convenience can also directly reduce the interest cost of the related banks by about 20 billion yuan per year, which is conducive to the real economy to reduce costs through the pmission of banks.

All these are conducive to supporting the development of the real economy.

How can the release of funds flow to the real economy accurately?

Zong Liang, principal investigator of Bank of China, said that "it usually takes a long time to get ahead of time in the past years." but this time, the announcement of the reduction notice was released directly at the beginning of the year. It released a signal to resolutely solve the outstanding problems of China's economy, and inject confidence into enterprises, and laid the foundation for the smooth operation of China's economy in 2019.

"The downward pressure on the domestic economy is bigger and there are many uncertainties in the foreign trade friction. The central bank chose to adjust the deposit reserve ratio at this time point. At present, it is to ease the downward pressure on the economy and boost market confidence," said Zhao Xijun, vice president of the school of Finance and finance of Renmin University of China.

"At present, liquidity is tight, and the economy is facing downward pressure. Now it is conducive to meeting market liquidity and seasonal demand."

Xu Hongcai, deputy chief economist of China International Economic Exchange Center, said that it is also conducive to expanding investment, consumption and employment, alleviating the financing pressure of small and micro enterprises and private enterprises, enhancing the confidence of market participants and promoting economic stability.

The central bank launched a large amount of liquidity at the beginning of the year, which does not mean that this year's macroeconomic regulation and control will have a larger turn.

"The main keynote of macroeconomic regulation has not changed, or is it based on a robust monetary policy with an incentive fiscal policy.

But in terms of specific policy operation, flexibility and operation will be more extensive.

Zhao Xijun said.

In the support of private sector development, Zhao Xijun pointed out that the liquidity provided by the central bank to the financial system and the financial market should be introduced into the real economy, directly supporting the development of the real economy, solving the problems of financing and financing, and not allowing enough liquidity to stay, or even speculation or speculation.

How to guarantee the release of funds to the real economy?

"We need to make precise investment, further dredge the pmission mechanism of monetary policy, especially to further increase the positive incentives for financial institutions". Guo Tianyong, Professor of Finance School of Central University of Finance and Economics, stressed that on the one hand, we should rely on the Inclusive Finance Department of financial institutions such as commercial banks; on the other hand, the central bank and the CBRC should also strengthen external supervision to ensure that at least we can invest in the private, small and micro fields through directional reduction, and really use the relevant fields.

How to implement "more tax reduction and reduction"?

On January 4th, Premier Li Keqiang inspected the Inclusive Finance Department of the Bank of China, the industrial and Commercial Bank of China and the Construction Bank, and held a forum at the Bank Insurance Regulatory Commission. He proposed that the macro policy should be strengthened and the tax reduction measures should be further taken.

"The National Bureau of statistics data show that in November 2018, the PMI index was 50%, hitting the critical point of manufacturing boom and wiping line, hitting a new low in recent years.

This shows that entrepreneurs still have little confidence in the market prospects.

Behind the lack of confidence, there are a series of factors such as heavy tax burden and financial difficulties.

The forum stressed the importance of Inclusive Finance, which is a very important part of supporting small and micro enterprises.

Gong Yuhang, President of China Enterprise Finance Research Institute.

In order to further stimulate the enthusiasm of banks to invest in Inclusive Finance, the central bank announced in January 2nd that it should adjust the assessment standard of inclusive financial orientation, and adjust the standard of loan assessment for small and micro enterprises in the direction of Inclusive Finance. The "single household credit is less than 5 million yuan" is adjusted to "single household credit less than 10 million yuan".

In January 4th, the central bank announced that the drop in accuracy would help to guide funds to effectively invest in key groups of Inclusive Finance and better solve the current financing problems.

In January 4th, the central bank announced that it is a specific measure in the monetary policy field.

Zong Liang said, "the next step is to implement the request of the central economic work conference to" reduce taxes and reduce fees "on a larger scale.

The organic combination of fiscal policy and monetary policy is an ideal move. "

Bai Jingming, vice president of the Chinese Academy of fiscal Sciences, said that the support for large-scale tax reduction and reduction in real estate development is mainly reflected in three aspects.

First of all, it can better stimulate the development of the real economy.

At present, the highest proportion of VAT contribution is physical enterprises, especially manufacturing.

By deepening the value-added tax reform, the manufacturing industry will be able to get more benefits.

Secondly, the reform of personal income tax has been fully implemented, which is conducive to promoting consumption growth, and consumption growth in turn will lead to supply.

Third, lowering the average tariff rate of import tariffs can save money for enterprises and reduce consumers' burden.