Discover and read the best of Twitter Threads about #CSRC
Most recents (6)
1/12 A thread on #ANT and how to read #China #PBOC Governor speech on Fintech(#ANT) yesterday. The headline says only FinTech, but Wink Wink, ANT is all over. Get strapped because I will sprinkle some wide guesses and rumors in the end. pbc.gov.cn/goutongjiaoliu…
2/12 My quick take on Fintech (Ant) SINS: 1. Monopoly power 2. Winner takes all 3. Payment system seeping into finance, insurance, small loan and asset mgt. 4. FIN must be separated from Tech, Payment from FIN. 5. Data Security 6. Global Coop on Fintech regulation
3/12 Points 3, 4, 5 has been addressed! I'v written on ANT credit scoring JV+ SASAC take stakes in the three private credit scoring companies. And Alipay has been ordered to be separated from financial services, because FinTech is more Finny than Techy!
The #capital market is critical to technological #innovation, noted Xiao Gang, former #CSRC Chairman, stressing the capital market’s role in bridging industrial development and technological advances...1/8
Underpinning industrial developments and competitiveness are technological innovations; all innovations are built upon #R&D which must be supported by adequate capital. Innovations based on original technologies need huge #investment and a long time to materialize...2/8
4 things about #China's #financial supply-side structural reform:
1. It focuses on the supply side, not the demand side of #credit expansion. Stressing the role of finance in serving real #economies doesn't mean flooding the economy with #liquidity.
1. It focuses on the supply side, not the demand side of #credit expansion. Stressing the role of finance in serving real #economies doesn't mean flooding the economy with #liquidity.
2. It stresses the service role of #finance and calls for improving #service quality & efficiency, not extensive #management.
3. It calls for “targeted” #supply which can match #demand precisely and effectively,
rather than ineffective and inefficient supply growth.
3. It calls for “targeted” #supply which can match #demand precisely and effectively,
rather than ineffective and inefficient supply growth.
4. It focuses on institutional & mechanism reform, not simply policy implementation and regulation. #Monetary & credit & macro policies are constantly adjusted in accordance with #economic and #financial situation.
By Xiao Gang, former #CSRC Chairman: cf40.org.cn/uploads/newsle…
By Xiao Gang, former #CSRC Chairman: cf40.org.cn/uploads/newsle…
Past experience has spoken against the effectiveness of setting rigid targets and eligibility requirements to enhance commercial sustainability of #financial institutions. Assessing the effectiveness of #banks’ support to private #firms only by quantitative measures isn't valid.
But this doesn't mean evaluation isn't needed, instead we should evaluate from multi dimensions, while following #market rules, taking into account the quantity, #efficiency and #quality of #loans, and enhancing the precision of support and banks’ #commercial #sustainability.
It is better not to rely on rigid measures, otherwise a variety of old problems would repeatedly occur. By Xiao Gang, former #CSRC Chairman and CF40 non-resident senior fellow.
Different types of private #firms have different appeals and demands, so different approaches are adopted to support them now. Local #governments, out of social #stability considerations, mainly channel their support towards large firms that are major #employment contributors.
#State-owned #asset platforms are more concerned about #profitability for fear of loss or reduction of state assets. #Securities companies which have a lot of #equity #pledge worry more about how to address #risks related to the pledges.
According to Xiao Gang, former #CSRC Chairman and CF40 non-resident senior fellow, #China should develop a #market-oriented, diversified and law-based #financial #service system, which requires efforts in nine aspects:
1. improve standards and rules to support private #firms;
1. improve standards and rules to support private #firms;
2. respect #market rules and enhance #commercial #sustainability of #financial institutions;
3. #reform the existing financial institutions system;
4. accelerate the transformation of #commercial #banks;
5. build a multi-level #capital #market;
3. #reform the existing financial institutions system;
4. accelerate the transformation of #commercial #banks;
5. build a multi-level #capital #market;
