Zhou Yanli, a member of the National Committee of the Chinese People’s Political Consultative Conference (CPPCC) and former vice chairman of the China Insurance Regulatory Commission (CIRC), said in an exclusive interview with Shanghai News today that he has put forward four suggestions on promoting high-quality development of the bond market.
First, we will strengthen the top-level design of the bond market. It is suggested that reform efforts should be further intensified to solve the unresolved problems of bond market fragmentation, study and promulgation of relevant guidelines, and realize the unification of rules on access conditions, information disclosure, credit rating, investor suitability, investor protection and so on. At the same time, it is suggested that the central financial authorities and local governments continue to jointly promote the reform of the bond market management system and mechanism.
Second, promote connectivity to enhance investment convenience and market efficiency. It is suggested to eliminate bond market segmentation through efficient connectivity. By drawing on international experience, we will study and promote the interconnection mode of direct connection between the backstage of registration and clearing institutions and the transaction front desk with advantages such as high efficiency, quick landing and convenience for investors.
Third, we will build a multi-tiered bond market system to enhance the depth, breadth and inclusiveness of the market. On the premise that market rules are clear, the system of qualified investors is improved, the background of registration and custody is centralized and unified, and the regulatory system is sound, we will encourage qualified local exchanges to issue private bonds on a pilot basis, so as to enrich the multi-level bond market system.
Fourth, enrich the front desk service window of bond market transactions. Fully open the market competition of front desk trading services, and investors can choose their own trading platforms according to their actual needs for investment varieties, efficiency, security and so on. We will increase channels and platforms for issuing Treasury bonds, local government bonds, and policy-related financial bonds, and increase the proportion of these bonds sold in the over-the-counter market to meet the reasonable investment needs of individual residents.
Reprint indicated source：Shine Trader Limited Live information