On January 4th, the China Banking Regulatory Commission (CBRC) issued the Guiding Opinions on Promoting the High-quality Development of the Banking and Insurance Industry, which pointed out that banking and insurance institutions should implement the orientation of \"no house and no house speculation \", strictly enforce the requirements of real estate financial supervision, prevent funds from illegally flowing into the real estate market, curb the rapid growth of residents'leverage ratio, and promote the healthy and stable development of the real estate market.
The Guiding Opinions adhere to the five basic principles of returning to the source, optimizing the structure, strengthening supervision, market orientation and enabling science and technology.
In order to promote the formation of a multi-level, broad-based and differentiated banking and insurance institution system, the Guiding Opinions proposed optimizing the function orientation of large and medium-sized banks, enhancing the financial service capacity of small and medium-sized local banks, strengthening the risk protection function of insurance institutions, actively promoting the development of foreign-funded bank insurance institutions, fostering the characteristic advantages of non-bank financial institutions and giving full play to the important role of bank insurance institutions in optimizing the financing structure.
The \"Guiding Opinions\" put forward the improvement of the financial product system that serves the real economy and the people's living needs. They include actively developing financial products to support strategic emerging industries, advanced manufacturing industries and scientific and technological innovation, increasing the innovation of financial products of private enterprises and small and micro enterprises, optimizing the supply of financial products of agriculture, rural areas and farmers, vigorously developing green finance, enriching the supply of financial products in the fields of social and livelihood, and strengthening the scientific and technological support for innovation of financial products.
The guidance also suggests that precise and effective measures should be taken to mitigate the risks of the banking insurance system. One is to actively and steadily promote the handling of problem financial institutions; the other is to resolve the risks of shadow banking in an orderly manner; third, to strengthen risk prevention and control in key areas; fourth, to vigorously rectify illegal and illegal financial activities; and fifthly, to enhance the ability to resist risks.
In strengthening risk prevention and control in key areas, the Guiding Opinions make it clear that banking and insurance institutions should carry out the orientation of \"no house and no house speculation,\" strictly enforce the requirements of real estate financial supervision and control, prevent funds from illegally flowing into the real estate market, curb the rapid growth of residents'leverage ratio, and promote the healthy and stable development of the real estate market. We will continue to do a good job in defusing the hidden debt risks of local governments, make clear the responsibility for debt repayment of stock debts according to law, standardize and support local government bond issuance and supporting financing, and strictly prohibit illegal provision of new financing. To increase the blind expansion of the main business, high-debt management enterprise risk monitoring. Securely defuses the group customer credit risk, withdraws from \"the zombie enterprise\" in an orderly manner, impels the enterprise department structural deleveraging.
In addition, the Guiding Opinions also call for the establishment and improvement of the modern financial enterprise system with Chinese characteristics, the realization of a higher level of opening to the outside world and the strengthening of financial supervision and clean financial construction.