The CBRC wants to tighten the "purse strings" and strictly prevent local governments from approving land now; For loans, the procedures are troublesome. Originally, they could be approved by the provincial bank, but now they may have to be approved by the head office. On the afternoon of August 26, this description by an insider who invested in Expressway in Changzhou seems to be a microcosm of local enterprises under macro-control. And
"it is difficult to approve the land now; for loans, the formalities are more troublesome. Originally, the land could be approved in the provincial bank, but now it may have to be approved by the head office."
on the afternoon of August 26, this description by an insider who invested in Expressway in Changzhou seems to be a microcosm of local enterprises under macro-control. Changzhou, the birthplace of the "Tieben incident", is now a bit of a "startled bird". Local enterprises now have an obvious feeling that the government is very strict in the examination and approval procedures. "Originally, they could buy tickets after getting on the bus, or buy several tickets together. Now they must buy tickets one by one, and go in strict accordance with the procedures stipulated by the state."
on the same day, liulibin, vice president of Henan Nonferrous Metals Association, told that some illegal electrolytic aluminum projects to be built in Henan were "basically not built"
electrolytic aluminum is one of the five major industries in which this round of macro adjustment has been implemented. Although the semi annual report of Chinalco, a central state-owned enterprise, shows that its profit is as high as 3.8 billion yuan, the princes of Henan aluminum industry still have to choose the former in the face of macro-control and attractive profits
local governments, the protagonist of overheated investment, seem to have followed the lead of the central government
is the investment fever not abating
this round of macro-control has been vigorously carried out for one year since the 121 document of the central bank was issued. Is the overheated investment of local governments really restrainedOn August 25, the National Bureau of Statistics announced the completion of national fixed asset investment in 2004. The central project investment is 427.386 billion yuan, and the local project investment is 2284 yuan. Tensile test: the tensile strength of the three specimens shall not be lower than the specified tensile strength of the grade of reinforcement; The tensile strength of waste heat treatment grade 3 rebar joint specimens shall not be less than the tensile strength of hot rolled grade 3 rebar 570Mpa; At least two test pieces are broken outside the weld, 194million yuan. Central government investment increased by 5.7% over the same period last year, and local projects increased by 37.2% over the same period last year
the statistics from the statistics department show clearly that the growth rate of local investment far exceeds that of the central government
not only that, the statistics also show that in the first seven months of this year, the local fixed asset investment accounted for 84.2% of the total national investment, slightly higher than the 80.5% before macro-control, that is, in the first seven months of last year
from the data surface, it is easy to draw a conclusion that the one-year macro-control has failed to curb the stubborn growth of local investment
the CBRC took action
the CBRC has long been vigilant about the continued surge in local investment
when the CBRC and the top management of major commercial banks held a summary meeting for the first half of the year, the statistical data for the first half of the year had been released. According to the data at that time, in the first half of this year, the investment in central projects increased by only 1.3%, and the investment in local projects increased by 38.5%
therefore, when talking about the outstanding contradictions and problems in the current economy at the summary meeting held by the CBRC in mid July, it pointed out that "the growth rate of local investment projects is high, and the pressure of investment expansion is still large"
according to an authoritative source, the CBRC had made many suggestions on macro-control at that time, such as "cautiously raising interest rates, giving play to the role of the market", but the first suggestion was "stabilizing macro-control and preventing investment rebound". The top management of the financial sector reached an agreement at the meeting that "the excessive growth of investment in China is mainly led by local governments"
the meeting concluded that "China's market economic system has not been fully established. Under the situation that the fiscal sector is divided into different sectors and the economic growth is taken as the performance evaluation index of local leaders, the government led investment is inevitable due to the political performance and interest drive"
this statement is indeed reasonable
for example, the person who invested in highways in Hangzhou told us that local governments often approve non key supported projects first and then state supported projects
liulibin, vice president of Henan Nonferrous Metals Association, estimated that "some suspended projects may have to wait twoorthree years to finish the rest of the projects, not necessarily now."
a deputy director of Zhejiang Provincial Development and Reform Commission also said that some projects that have already invested 50% should still be invested
the local mentality is clearly understood by the financial community. At the mid year summing up meeting, they pointed out that "for those projects that have been shut down, local governments are eyeing them, ready to go, and investment may rebound."After the meeting, the financial sector set a tone for these projects to strictly prevent investment rebound. The meeting concluded that "for the investment behavior led by the local government, it is necessary to use legal and administrative means such as controlling the loan scale, controlling new projects, controlling land requisition, cleaning up projects to be built, and seriously dealing with violators in the investment process."
the summary of the meeting was forwarded to the national development and Reform Commission and other departments. One month later, on August 26, the national development and Reform Commission issued an announcement, requiring "to continue to maintain macro-control, consolidate the achievements and prevent repetition; Financial institutions grant loans differently to projects under construction in the three industries of steel, electrolytic aluminum and cement
financial industry centralization trend
even if the national development and Reform Commission no longer follows, it may be difficult for these industries to obtain loans from commercial banks, unless these enterprises can convince the head offices of commercial banks
in the face of the sharp increase in local government investment, commercial banks have taken back their power, and the impulse of centralization in the financial industry is obvious. This was discovered by the CBRC when it concluded in the middle of the year
previously, it was claimed that the four major state-owned commercial banks had transferred the loan approval authority of the five major industries of real estate, automobile, steel, electrolytic aluminum and cement to the provincial bank or the head office
in fact, according to authoritative sources, according to the summary of the CBRC in the middle of this year, some joint-stock commercial banks have also carried out similar centralization actions
"the four major banks and some joint-stock commercial banks have gradually concentrated the approval authority of new credit to the head office and Tier-1 branches, and strictly controlled the loan issuance of institutions below tier-2 branches. The original sub credit right has been cleared and standardized, appropriately adjusted and collected. The re loan plan has been collected and recovered in a timely manner according to the risk situation of different branches."
on August 26, a vice president of a branch of Shenzhen Development Bank said to Xiang that the loans for real estate, steel and other industries have basically stopped
"private iron and steel enterprises will not come to us because they are very clear about the macro-control policies"
the trend of centralization also shows that "commercial banks have reduced the deposit loan ratio, increased the secondary reserve ratio, and controlled the loan scale of branches; increased the price of funds deposited and dismantled, and tightened the liquidity of branches by increasing the secondary reserve ratio and implementing loan floating interest, so as to guide the concentration of funds of branches to the head office". Therefore, the loans at the disposal of local sub branches will be greatly reduced
an obvious example is Bank of China. It is understood that the Bank of China has twice raised the RMB internal capital interest rate by 30 basis points and raised the reserve ratio of branches by 0.5%
by the end of June, the deposit loan ratio of 15 commercial banks, including the four major state-owned commercial banks, had decreased by 2.7% year-on-year
in terms of risk management, commercial banks have conducted more centralized experiments, among which the practice of CITIC Industrial Bank is no longer the same in the industry
CITIC Industrial Bank has restructured its risk management system, implemented comprehensive and centralized vertical management, realized the separation of business operation, risk management and supervision, and the risk management committee of the head office made decisions on major issues of risk management; The head office's risk management department manages all kinds of risks in a centralized manner, and the head of the branch's risk management department has only the veto power