hot spot
focus
01
PBOC: The goal and determination to maintain the basic stability of the RMB exchange rate remain unchanged
On April 18, 2024, Zhu Hexin, Deputy Governor of the People's Bank of China and Director of the State Administration of Foreign Exchange, said at a press conference held by the State Council New Office that the RMB exchange rate has remained generally stable in the near future, the goal and determination of the People's Bank of China to maintain the basic stability of the RMB exchange rate will not change, and the RMB exchange rate has the foundation and conditions to remain basically stable. The PBOC will continue to implement comprehensive policies, stabilize expectations, pay close attention to changes in the foreign exchange market situation, resolutely correct pro-cyclical behavior, prevent the market from forming unilateral expectations and self-reinforcing, resolutely guard against the risk of exchange rate overshoot, and maintain the basic stability of the RMB exchange rate at a reasonable and balanced level.
Tsinghua Financial Review observes
In the short term, the first quarter has achieved a good start, the margins in many areas have been improved, and the positive factors have increased, which will effectively hedge external factors, and the RMB exchange rate will be supported, and the good economy will inevitably affect the RMB exchange rate and also support the RMB exchange rate. At the same time, the maturity and resilience of the mainland foreign exchange market are also continuing to improve, so the trend of the RMB exchange rate will fluctuate in both directions and be relatively balanced. (Observer/Zhou Mingyi)
grave
meeting
01
International Monetary and Financial Committee Meeting: China's economic operation continues to pick up and improve
On April 18-19, 2024, the International Monetary Fund (IMF) held the 49th meeting of the International Monetary and Financial Committee (IMFC) in Washington, D.C., to discuss the global economic and financial situation, the work of the IMF and other issues. Pan Gongsheng, governor of the People's Bank of China, attended and spoke at the meeting. Xuan Changneng, deputy governor of the People's Bank of China, attended the meeting. The meeting considered that the global economy is resilient and on track for a soft landing, but the recovery remains uneven across countries. The current focus is on achieving price stability, enhancing fiscal sustainability, maintaining financial stability, and promoting inclusive and sustainable economic growth
Tsinghua Financial Review observes
China's prudent monetary policy is flexible, moderate, precise and effective, strengthens counter-cyclical adjustment, and comprehensively uses interest rates, reserves, relending and other tools to effectively serve the real economy, effectively prevent and control financial risks, and create a suitable monetary and financial environment for the economic recovery. The prudent monetary policy is flexible, moderate, precise and effective, strengthens counter-cyclical adjustment, and comprehensively uses interest rates, reserves, re-lending and other tools to effectively serve the real economy, effectively prevent and control financial risks, and create a suitable monetary and financial environment for the economic recovery. (Observer/Zhou Mingyi)
grave
policy
01
The new regulations on public offering commission reduction have been released
On April 19, the China Securities Regulatory Commission issued and implemented the "Regulations on the Administration of Securities Transaction Costs of Publicly Offered Securities Investment Funds", which clearly adjusted the commission rate of public fund stock transactions to a more reasonable level, established a dynamic adjustment mechanism for commission rates, and regularly adjusted the commission rate of public fund stock transactions according to the changes in the market rate, and at the same time adjusted the upper limit of the transaction commission distribution ratio from 30% to 15%. The "Provisions" will be officially implemented from July 1, 2024.
Tsinghua Financial Review observes
The reform of the commission system marks the implementation of the second phase of the rate reform of the public fund industry. According to static data, after the promulgation and implementation of the "Regulations", the total annual stock trading commission of public funds will be reduced by 38%, and the first two stages of rate reform measures can save investors about 20 billion yuan per year. It is understood that in the next step, the China Securities Regulatory Commission will focus on the fund sales link, further standardize the subscription rate and other sales costs, promote the pilot outsourcing of fund back-end operation services to become regular, and further reduce the operating costs of small and medium-sized fund companies. The reforms are expected to be rolled out by the end of 2024. (Observer/Wang Mao)
02
The China Securities Regulatory Commission formulated the "Sixteen Measures for the High-level Development of Capital Market Services Technology Enterprises"
On April 19, the China Securities Regulatory Commission formulated the "Sixteen Measures for the High-level Development of Science and Technology Enterprises in the Capital Market", which put forward supportive measures from listing financing, mergers and acquisitions, bond issuance, private equity investment, etc., to further improve the function of the capital market, optimize the allocation of resources, and make greater efforts to support the high-level development of science and technology enterprises and promote the development of new quality productivity.
Tsinghua Financial Review observes
Science and technology are the primary productive forces. The Central Economic Work Conference held in December 2023 pointed out that scientific and technological innovation should lead the construction of a modern industrial system. It is necessary to promote industrial innovation with scientific and technological innovation, especially to use disruptive technologies and cutting-edge technologies to give birth to new industries, new models, and new kinetic energy, and develop new quality productive forces. The role of technology is obvious to all, but technology companies need a lot of capital investment in the initial stage. The 16 measures proposed by the China Securities Regulatory Commission (CSRC) are aimed at providing all-round financial support for technology enterprises, and it is hoped that mainland technology enterprises can become stronger and bigger as soon as possible. (Observer/Wang Mao)
grave
affair
01
China Council for the Promotion of International Trade: The US Section 301 investigation is unreasonable and unfounded
On April 17, local time in the United States, the Office of the United States Trade Representative (USTR) launched a Section 301 investigation into China's so-called "unfair economic practices" in the maritime, logistics and shipbuilding industries. On behalf of the Chinese business community, the China Council for the Promotion of International Trade (CCPIT) and the China Chamber of International Commerce (CCOIC) call on the US to respect the laws of the market economy and the principle of fair competition, immediately stop the erroneous practices of Section 301 investigations, and return to the rules-based multilateral trading system.
Tsinghua Financial Review observes
In the trade relations between China and the United States, the United States has provoked trade frictions. Relevant research reports in the United States have also shown that the difficulties faced by the U.S. maritime, logistics and shipbuilding industries are mainly caused by the lack of competitiveness in the market of their own industries. In fact, each country has its own natural endowment, and only by giving full play to its own advantages and cooperating at the same time can it achieve a win-win situation in the field of trade and economy. The United States has launched a Section 301 investigation against China, which is unfavorable to both China and the United States, and there are some differences between the two sides, which should be resolved through friendly consultations, which is a correct solution and is beneficial to the long-term development of bilateral trade. (Observer/Wang Mao)
important
numeral
01
GDP grew by 5.3% year-on-year in the first quarter of 2024
The first quarterly report card of China's economy in 2024 was released. GDP in the first quarter was 296299 billion yuan, up 5.3 percent year-on-year at constant prices and 1.6 percent quarter-on-quarter over the fourth quarter of last year. By industry, the added value of the primary industry was 1,153.8 billion yuan, up by 3.3 percent year-on-year, the added value of the secondary industry was 109846 billion yuan, up by 6.0 percent, and the added value of the tertiary industry was 174915 billion yuan, up by 5.0 percent.
Tsinghua Financial Review observes
Judging from the four major macro indicators of growth, employment, inflation, and balance of payments, the economic operation in the first quarter was generally stable and started steadily. From the next stage, the holiday economy continues to show good results, and the economy will continue to recover to a positive trend. GDP in the first quarter was better than expected, but judging from the March data, the economy showed a marginal cooling momentum. If we want to stabilize the upward trend of the economy, we need to maintain countercyclical adjustment. Looking ahead, due to the low base in the second quarter of last year, if the policy effect is further revealed, the economic growth rate in the second quarter is expected to rebound to the range of more than 5.5%. (Observer/Zhou Mingyi)
This article is edited by Zhou Mingyi
Editor-in-charge丨Ding Kaiyan, Lan Yinfan
Preliminary trial丨Xu Lanying
Final Review丨Zhang Wei