The Central Bank of China Creates the Tool of Central Bill Exchange

                                                                                    INQUIRY

      At the same time, the CBRC also decided to liberalize restrictions and allow insurance institutions to invest qualified bank secondary capital bonds and fixed-term capital bonds in order to support commercial banks to further enrich capital, optimize capital structure, expand credit space, enhance the service entity's economic and risk resistance ability, and enrich the allocation of insurance funds.
Analysts generally believe that this policy adjustment will increase the willingness of banks to subscribe for sustainable debt, and to some extent solve the capital problem of credit expansion on the off-balance sheet and in-balance sheet; the central bank will include the bank's sustainable debt whose main rating is not lower than AA into the eligible burden of the central bank's medium-term lending facilities (MLF), directed medium-term lending facilities (TMLF), standing lending facilities (SLF) and re-lending. The scope of collateral has expanded the balance of collateral in the open market, and marginally alleviated the problem that some commercial banks were unable to obtain funds from the central bank due to insufficient collateral.
The following is a summary of the analyst's comments:
Huang Yiping, Vice President of the National Development Institute of Peking University:
Sustainable economic development requires continuous expansion of financial services. In recent years, capital has become an important obstacle to the business growth of Chinese commercial banks. Sustainable debt can provide an effective and sustainable channel for commercial banks to replenish capital. It can also help to enrich the capital market, especially the products of the creditor's rights market. It may also help to improve the transmission mechanism of capital market pricing and monetary policy.
At the same time, CBS is actually equivalent to increasing credit for sustainable debt, which commercial banks buy, but it can be replaced by central bank bills, which reduces the risk. This is equivalent to the central bank supporting banks to replenish capital with its own credit.


INQUIRY sales@hellerbearings.com
  • Details： The Central Bank of China Creates the Tool of Central Bill Exchange

  • Like Model No.:

  • We cooperate with UPS,TNT,FEDEX,EMS,DHL,etc.They guarantee to meet your needs in terms of time and money,even if you need your The Central Bank of China Creates the Tool of Central Bill Exchange bearing tomorrow morning (aka overnight or next day air) on your desk, 2, 3 days or more.Note to international customers, YES, we ship worldwide. INQUIRY -->

    Hot Model No.: