会议强调，金融工作是党和国家事业的重要组成部分。五年来，在党中央坚强领导下，我国金融体制改 革全面深化，国家金融治理体系和治理能力现代化迈上新台阶，金融服务实体经济质效显著增强，金融 业综合实力和国际竞争力大幅提升。党的二十届四中全会对加快建设金融强国作出战略部署，中国人民 银行将全面、准确贯彻落实习近平总书记重要讲话和全会精神，以勤勉、务实、专业的作风，加快完善 中央银行制度，扎实推动重点工作落实落地。 10月24日，中国人民银行党委书记、行长潘功胜主持召开党委会议，传达学习习近平总书记在党的二十 届四中全会上的重要讲话和全会精神，落实主要金融单位学习贯彻党的二十届四中全会精神会议要求， 研究部署贯彻落实举措。中国人民银行各党委委员参加会议。 会议认为，党的二十届三中全会以来，在经济运行的关键时点，党中央沉着应对、果断决策，部署推出 增量政策，有效稳就业、稳企业、稳市场、稳预期，党和国家事业取得新的重大成就。中国人民银行按 照党中央部署，先后出台一揽子货币政策举措，加强逆周期调节，保持流动性充裕，坚定支持股市、债 市、汇市等金融市场稳定运行，为经济稳定增长创造了良好的货币金融环境。 会议认为，过去五年，面对 ...

Core Viewpoint - The People's Bank of China emphasizes the need to establish a comprehensive macro-prudential management system and a mechanism for systemic financial risk prevention and resolution [1] Group 1: Macro-Prudential Management - The meeting highlighted the importance of enhancing the monitoring, assessment, and early warning of systemic financial risks from macro, counter-cyclical, and contagion perspectives [1] - There is a focus on expanding the coverage of macro-prudential management to strengthen the central bank's functions in maintaining financial stability [1] Group 2: Financial Market Stability - The central bank aims to ensure the stable operation of financial markets, including the stock market, bond market, and foreign exchange market [1] - Collaboration with relevant departments will continue to support local small and medium financial institutions, local government financing platforms, and the resolution of real estate market risks [1] Group 3: Regulatory Discipline - The meeting stressed the importance of upholding financial and market discipline, as well as regulatory rules, to prevent moral hazards [1] - There is a call to improve the financial stability guarantee system and accelerate financial legislation [1]

Core Viewpoint - The People's Bank of China emphasizes the need to establish a comprehensive macro-prudential management system and a mechanism for systemic financial risk prevention and resolution [1] Group 1: Macro-Prudential Management - The meeting highlights the importance of enhancing the monitoring, assessment, and early warning of systemic financial risks from macro, counter-cyclical, and contagion perspectives [1] - There is a focus on expanding the coverage of macro-prudential management to include more financial markets [1] Group 2: Financial Market Stability - The central bank aims to enrich its macro-prudential and financial stability functions to maintain the stable operation of stock, bond, and foreign exchange markets [1] - Collaboration with relevant departments will continue to support local small and medium financial institutions, local government financing platform debts, and the resolution of real estate market risks [1] Group 3: Regulatory Discipline - The meeting stresses the importance of upholding financial and market discipline, as well as regulatory rules, to prevent moral hazards [1] - There is a call to improve the financial stability guarantee system and accelerate financial legislation [1]

Core Viewpoint - The macro-prudential management expansion and the enhancement of financial stability tools are expected to lead banks into a new phase of risk management, which will strengthen their balance sheets and accelerate the realization of net asset revaluation expectations [1][2]. Summary by Sections Macro-Prudential Management - The interview with the head of the Financial Stability Bureau of the People's Bank of China emphasizes the need to balance growth and risk prevention, expanding the macro-prudential management framework and enhancing the financial stability toolbox [2]. - Future regulations will likely deepen oversight of non-traditional banking activities, including wealth management and asset management subsidiaries [2]. Banking Sector Performance - The banking sector is expected to maintain a stable performance in Q3, with positive trends in interest margins and stable non-performing loan generation, although investment income may see a quarter-on-quarter decline [1][4]. - The KBW bank index experienced a significant drop due to concerns over credit risks in U.S. regional banks, leading to a market capitalization loss of over $100 billion for 74 major banks in a single day [3]. Stock Market Trends - Last week, both A-shares and H-shares in the banking sector outperformed the broader market, with notable gains in individual bank stocks, particularly Chongqing Bank and Agricultural Bank [4]. - The increase in mid-term dividends from banks, now reaching 17 institutions, contributes to the relative and absolute returns of bank stocks amid rising market uncertainties [4]. Investment Strategy - The banking sector is seen as offering significant value, with a shift towards alpha strategies in stock selection, focusing on companies with high and stable ROE and optimistic valuation space [1][4].

Core Viewpoint - The report from CITIC Securities indicates that the next phase of macro-prudential management and the expansion of financial stability tools may lead banks into a new stage of risk management, which is expected to strengthen bank balance sheets and accelerate the realization of net asset revaluation expectations [1] Group 1: Banking Sector Outlook - CITIC Securities anticipates that the third-quarter reports of banks will continue to show a stabilizing trend, with positive net interest margin movements and stable generation of non-performing loans [1] - Investment income is expected to see a quarter-on-quarter decline, but year-on-year growth rates for bank performance will remain stable [1] Group 2: Market Sentiment and Investment Strategy - Last week, investor risk appetite decreased, but bank stocks are expected to provide both relative and absolute returns [1] - It is projected that from the fourth quarter, absolute return capital will begin to position for next year, significantly enhancing the cost-performance ratio of the banking sector [1]

Core Viewpoint - The People's Bank of China (PBOC) has released a draft notice to support domestic banks in conducting cross-border RMB interbank financing, aiming to develop the offshore RMB market and improve macro-prudential management of cross-border capital flows [1][2]. Summary by Sections Section 1: Unified Regulation and Risk Management - The draft notice introduces unified regulation for RMB cross-border interbank financing, previously scattered across various pilot programs, with differentiated calculation methods for domestic and foreign banks [1] - For domestic banks, the net lending limit is calculated as: Net Capital × Risk Management Factor × Macro-prudential Adjustment Parameter, with initial values set at 0.06 and 1 respectively [1] - A warning will be triggered when the net lending balance reaches 80% of the limit to ensure manageable business scale [1] Section 2: Regulatory Coverage - The draft encompasses all RMB financing activities between domestic banks and foreign institutions (excluding clearing banks) that establish substantive creditor-debtor relationships, but excludes investments in foreign debt instruments [2] Section 3: Business Duration and Entry Requirements - The financing business duration is capped at one year, aligning with domestic interbank business duration requirements [2] - Only domestic banks with strong international settlement capabilities are allowed to participate, including state-owned banks, foreign-owned banks, and joint-venture banks, with specific management and reporting obligations to the PBOC [2] Section 4: Exclusions and Reporting - Rural financial institutions such as rural commercial banks and credit cooperatives are prohibited from engaging in this business due to their limited international settlement and risk management capabilities [2] - All participating banks must report information monthly to the RMB Cross-border Payment Information Management System (RCPMIS) and retain relevant business materials for five years [2] Section 5: Feedback Period - The deadline for feedback on the draft notice is set for September 27, 2025 [3]

Core Viewpoint - The People's Bank of China (PBOC) has drafted a notice to enhance the framework for cross-border interbank financing in Renminbi, aiming to support the development of the offshore Renminbi market and improve policy transparency and consistency [1][2][3]. Group 1: Policy Development - The notice aims to unify the management of cross-border interbank financing, which includes various forms of Renminbi liquidity provision between domestic and foreign banks [1][3]. - Since 2009, various cross-border interbank financing products have been introduced, but the previous management lacked clarity and transparency, necessitating a more structured approach [3][4]. - The notice reflects a balance between fostering innovation in cross-border financing and ensuring regulatory compliance [4][5]. Group 2: Market Demand and Stability - The demand for Renminbi liquidity in the offshore market has increased, with the cross-border payment amount expected to reach 64 trillion yuan in 2024 [2]. - The notice is designed to stimulate domestic banks' willingness to engage in cross-border financing by providing clearer rules and reducing operational uncertainties [4][5]. - By linking the net outflow limits to banks' capital levels, the notice encourages a risk-neutral approach among financial institutions, promoting stable and healthy business development [5][6]. Group 3: Macro-Prudential Management - The notice introduces a macro-prudential management framework for cross-border interbank financing, allowing the PBOC to adjust parameters to manage liquidity flow effectively [6]. - This framework is intended to provide a stable and orderly outflow of Renminbi to foreign markets while maintaining risk control [6].

Core Viewpoint - The People's Bank of China (PBOC) has announced adjustments to the evaluation criteria for primary dealers in the open market, emphasizing the importance of stability during market fluctuations and enhancing the transmission of monetary policy [1][2][7]. Group 1: Evaluation Criteria Adjustments - The revised evaluation criteria will be implemented starting in 2025, with the list of primary dealers remaining unchanged for that year [1][7]. - The new criteria simplify the evaluation indicators from seven to four dimensions: "monetary market transmission," "bond market making," "research and innovation," and "compliance and sound operation" [6][7]. - New indicators focus on performance during periods of market tension, highlighting the need for primary dealers to maintain stability in the bond market [2][6]. Group 2: Role of Primary Dealers - Primary dealers are defined as financial institutions that can directly engage in open market operations with the PBOC, playing a crucial role in the transmission of monetary policy [2][5]. - Being designated as a primary dealer signifies both recognition from the PBOC and the responsibility to facilitate monetary policy transmission and market stability [3][4]. - The PBOC's selection of primary dealers is based on their market influence and capability, ensuring effective communication and liquidity support [4][5]. Group 3: Implications for Financial Institutions - The adjustments in evaluation criteria are expected to enhance the scientific and fair assessment of various types of institutions, promoting diversity among primary dealers [7]. - Financial institutions that achieve primary dealer status can directly participate in PBOC operations, which is seen as a mark of credibility and market influence [3][5]. - The new evaluation framework reflects the PBOC's increased sensitivity to market fluctuations and the importance of risk management among financial institutions [6][7].

Core Viewpoint - The People's Bank of China (PBOC) has drafted a notice to support domestic banks in conducting RMB cross-border interbank financing, aiming to enhance the offshore RMB market and ensure stable liquidity provision [1][2]. Group 1: Policy Objectives - The notice reflects a clear direction towards balancing high-quality development with high-level security, allowing banks to meet market demands while promoting the use of RMB across borders [1][2]. - It aims to provide stable liquidity to the offshore market, which is crucial for the internationalization of the RMB, as evidenced by RMB becoming the largest settlement currency for China's external payments and the second-largest trade financing currency globally [2]. Group 2: Management Framework - The new regulations will unify the management of RMB cross-border interbank financing, addressing previous issues of unclear rules and lack of transparency in the management of outbound financing [3][4]. - The notice covers various types of RMB cross-border interbank financing, shifting from a product-specific rule-making approach to a more comprehensive framework that emphasizes substantive debt relationships [4]. Group 3: Risk Management - The notice links the net outbound balance of banks to their Tier 1 capital, promoting a principle of "doing business according to capital capacity," which encourages a risk-neutral mindset among financial institutions [5]. - A counter-cyclical adjustment mechanism will be introduced to manage cross-border capital flows, allowing the PBOC to adjust parameters to stabilize RMB liquidity provision to offshore markets [6].

Core Viewpoint - The People's Bank of China (PBOC) has drafted a notice to support domestic banks in conducting cross-border RMB interbank financing, aiming to develop the offshore RMB market and improve macro-prudential management of cross-border capital flows [1] Summary by Sections Coverage of RMB Cross-Border Interbank Financing - The notice encompasses various RMB financing activities between domestic banks and foreign institutions, excluding investment or purchase of debt instruments like interbank certificates of deposit and bonds [1] Business Duration and Mechanisms - The duration for RMB cross-border interbank financing is capped at one year, aligning with the domestic interbank business duration [2] - A counter-cyclical adjustment mechanism is introduced, setting limits on net financing outflows based on tier-one capital and risk management factors [2] Support for Domestic Banks - Domestic banks are encouraged to develop their business in accordance with market demand and legal compliance, requiring strong international settlement capabilities and robust risk management systems [2] Applicable Institutions - The notice applies to domestic banks with international settlement capabilities, including Chinese banks, foreign-owned banks, joint venture banks, and foreign bank branches. Rural financial institutions are excluded from participating in RMB cross-border interbank financing [3]