As a mature market economy, interest rate marketization is a key link. At present, in China, we can see, for example, in the credit market, deposit interest rates and loan interest rates are generally set by the central bank, which are regulated interest rates and non-market interest rates.
In the money market, it can be said that the short-term capital market has shibor, the interest rate of the Shanghai interbank market, which is also the benchmark interest rate.
There are national debt and central bank bills in the national debt market, forming some benchmark interest rates. It stands to reason that there are several different interest rate systems and different integrations, but at present, in the whole process of interest rate marketization, the benchmark interest rate has not yet been formed, or the market-oriented benchmark interest rate system has not yet been formed, which is related to the inactive trading of the whole national debt market, too few spot transactions of national debt and too single institutions. It is the introduction of treasury bonds futures that will change this situation.
Because, firstly, there are different institutions involved in treasury bond futures, not only commercial banks and large insurance companies, but also many individual investors and brokerage funds, which will reflect the different judgments of investors in different markets on interest rates, which is the cornerstone of the formation of interest rate marketization. The interest rate of national debt is competitive among exchanges, and different institutions quote at the same time, eventually forming a market-recognized interest rate. Such an interest rate system is a good cornerstone for forming the overall yield curve of China.
If the introduction of treasury bond futures has any impact on the whole interest rate market in China, it should be said that treasury bond futures are the cornerstone of the whole interest rate marketization.