First, establish and improve the scientific decision-making mechanism of monetary policy, and improve the forward-looking, scientific and transparent decision-making of monetary policy. Improve the transmission mechanism and environment of monetary policy, and gradually promote the transformation of monetary policy from quantitative regulation to price regulation. Improve the tools and methods of open market operation, and constantly innovate and enrich monetary policy tools. Strengthen the coordination between monetary policy and fiscal policy, industrial policy and financial supervision policy.
The second is to steadily promote the reform of interest rate marketization. Further promote the construction of the benchmark interest rate system in the money market and improve the Shibor benchmark. By guiding financial institutions to improve their pricing power and improve the market mechanism, we will create conditions for the ultimate realization of comprehensive interest rate marketization. Improve the central bank's interest rate regulation framework, gradually determine the central bank's target interest rate and main operating tools, straighten out the interest rate transmission channels, and give more play to the role of the market in the formation of interest rates.
The third is to improve the RMB exchange rate formation mechanism. Further play the role of the market in the exchange rate formation mechanism, gradually expand the floating range of RMB exchange rate, reduce the intervention of the central bank in the foreign exchange market, and realize the managed floating of RMB exchange rate based on market supply and demand with reference to a basket of currencies. Keep the RMB exchange rate basically stable at a reasonable and balanced level.
Fourth, give full play to the role of credit policy and support financial product innovation. Strengthen the macro guidance of credit policy, focus on accelerating the transformation of economic mode, promoting the adjustment of industrial structure, coordinating regional economic development, improving the financial service level of agriculture, rural areas and small and medium-sized enterprises, and improving people's livelihood, improve the implementation mode of credit policy and improve the implementation effect. Strictly control loans to industries with high energy consumption and high emissions and industries with overcapacity. Further improve the credit policy to promote consumer demand, expand consumer credit, and support the development of service consumption. Innovative low-carbon financial products. Further improve financial services for SMEs. Enrich real estate financial products and encourage the development of direct financing tools such as stocks, bonds and real estate investment trusts.
The fifth is to establish a macro-prudential management system and improve the level of financial supervision. Establish and improve the headwind adjustment mechanism, curb the pro-cyclical fluctuation of credit, and guard against macro risks. Explore the establishment of counter-cyclical supervision indicators, study and implement dynamic leverage ratio supervision programs, and further improve the liquidity supervision system. Establish a general framework of capital supervision that conforms to international practice and reflects the reality of domestic banking industry and is based on the three pillars of the New Capital Accord. Promote the regular supervision of securities companies, strengthen the monitoring of net capital, improve the classified supervision of securities companies and strengthen the supervision of securities rating business. Strengthen the supervision of fund companies and improve the internal control system of fund companies. Strengthen the monitoring of institutional investors' investment behavior. Establish the information disclosure system of futures companies and improve the classified supervision system of futures companies. Further improve the modern insurance supervision system. Focus on the supervision of solvency risk, insurance investment risk, life insurance surrender risk and new spread loss risk, and comprehensively promote classified supervision. Establish and improve a systematic financial risk assessment system. Strengthen the assessment of systemically important financial institutions, products and market risks. Accelerate the establishment of a supervision system for financial holding companies in China, and urge and guide financial holding companies to strengthen corporate governance, risk management and internal control systems. Improve the regulatory standards for cross-cutting financial business and strengthen regulatory coordination. Improve the financial information sharing system. Establish a standardized lender of last resort system. Establish and improve the market exit mechanism of financial institutions.
(2) Further deepen the reform of the financial industry.
First, deepen the reform of large state-owned commercial banks. Continue to deepen the corporate governance reform of banks and clarify the responsibilities of "shareholders' meeting, board of directors, board of supervisors and senior management". Reasonably formulate the salary incentive and restraint mechanism. Further play the role of listing at home and abroad in promoting the reform of pilot banks. Carefully and steadily carry out the comprehensive operation pilot of state-controlled commercial banks. Comprehensively promote the commercial transformation of development banks. Solidly promote the Agricultural Bank of China to improve the corporate governance and risk control system, and promote the reform of the three rural financial division system. Continue to promote the reform of policy-oriented financial institutions. Deepen the reform of China Postal Savings Bank. Further promote the market-oriented transformation of financial asset management companies.
Second, continue to deepen rural financial reform. Accelerate the establishment and improvement of rural financial institution system combining commercial finance, cooperative finance and policy finance. Strive to solve the problem of financial services in blank towns and villages of financial institutions in about three years. Adhere to the principle of local conditions and classified guidance, and improve the property rights system, organizational form and internal control mechanism of rural credit cooperatives. Maintain and consolidate the independent legal person status of county (city) association. Provincial associations mainly perform the functions of industry management, guidance, coordination and service. Vigorously cultivate and develop new rural financial institutions such as village banks, loan companies, rural mutual funds cooperatives and microfinance companies. Encourage large state-owned holding banks and commercial banks to provide rural financial services in various ways. Pay attention to the cultivation and development of rural financial products that meet the characteristics of rural needs and are "low cost, wide coverage, replicable and easy to popularize". Continue to implement the policy of supporting agriculture and refinancing. We will implement and improve policies such as financial discount, tax incentives, targeted cost subsidies and incremental incentives for agricultural loans, and establish and improve the decentralized transfer and compensation mechanism for agricultural credit risks.
The third is to promote the reform and development of securities and futures institutions. Further urge securities and futures institutions to improve corporate governance and internal control, and strengthen compliance management and risk control. Support domestic securities and futures institutions to carry out mergers and acquisitions. Guide and encourage domestic securities and futures institutions to carry out organizational, business and product innovation. Constantly strengthen the construction of high-quality talent team, and create favorable conditions for improving the competitiveness of the industry from the incentive mechanism and restraint mechanism.
The fourth is to promote the reform and development of insurance institutions. Efforts will be made to consolidate the reform results and support qualified insurance companies to replenish their capital by listing, increasing capital and shares, and issuing subordinated debts, so as to enhance their capital strength and solvency. We will continue to improve the corporate governance structure and accelerate the transformation of operating mechanisms. Promote the construction of a comprehensive risk management system and continuously improve asset quality and profitability. Actively cultivate modern large-scale insurance groups with outstanding main business and international competitiveness.
Fifth, deepen the reform of the foreign exchange management system and expand financial openness. Deepen the reform of the foreign exchange management system. With relaxing the restrictions on capital account transactions, introducing and cultivating capital market instruments as the main line, and under the premise of controllable risks, we will further broaden the capital outflow channels, improve the balanced management of capital outflow and inflow, and promote the basic convertibility of RMB capital accounts in accordance with the principle of "step-by-step implementation, overall planning, easy first and difficult later, and leaving room". Take the facilitation of direct investment as the starting point, and take the lead in realizing the basic convertibility of direct investment; Focus on facilitating cross-border financing and improve the foreign exchange management of external creditor's rights and debts; Focus on expanding individual autonomy in the use of foreign exchange, and further relax cross-border transactions of other individual capital projects; Focusing on opening the domestic capital market and expanding overseas securities investment, we will further improve the convertibility level of securities investment. We will steadily promote the use of RMB in cross-border trade and investment, and focus on promoting RMB settlement in cross-border trade. Continue to improve the system and mechanism of reserve management. Encourage qualified financial institutions to expand overseas business in an orderly manner and steadily expand overseas distribution. Strengthen the construction of an international financial center in the Mainland, strengthen financial cooperation between the Mainland and Hong Kong and Macao, support the development of Hong Kong's financial services industry, and maintain its status as an international financial center. Continue to promote regional monetary cooperation and actively promote the reform of the international monetary system. Actively participate in the governance of international financial organizations and improve China's right to speak in international financial organizations.
(3) Promoting the healthy development of financial markets
First, accelerate the development of the money market. Actively develop the money market, promote the coordinated development of interbank lending market, repurchase market, short-term financing bill market and commercial paper market, broaden the breadth and depth of the market, and enhance the liquidity management function.
The second is to promote the development of the bond market. Promote the reform of corporate bond issuance system and supervision system, and promote the establishment of unified bond review, trading and supervision standards. Establish the credit responsibility mechanism of the main body of the bond market, strengthen market constraints, enrich bond varieties and improve the structure of bond investors. Promote the development of asset securitization. We will continue to promote the innovation of debt financing tools for non-financial enterprises, especially small and medium-sized enterprises. Pilot development of credit risk management tools. Study and establish a supervision system for dealers' associations. Strengthen the infrastructure construction of the bond market and improve market liquidity.
The third is to steadily promote the development of the stock market. Further improve the governance structure and internal restraint mechanism of listed companies, and further optimize the industry structure of listed companies. Further promote the coordinated development of institutional investors and expand the business scope and business model of fund companies under the premise of controllable risks. Continue to promote institutional investors such as insurance funds, social security funds and enterprise annuities to gradually increase their participation in the capital market. We will continue to deepen the market-oriented reform of the IPO system, simplify the audit procedures, improve the IPO inquiry system, and gradually realize the transformation from the approval system to the registration system. Continue to develop the main board market and the small and medium-sized board market, and actively strengthen the construction of the Growth Enterprise Market. Continuously improve the futures market. Study and explore the establishment of a unified supervision of the OTC market to meet the needs of China's economic development.
Fourth, vigorously develop the insurance market. Promote the establishment of an agricultural reinsurance system supported by the central and local governments and a catastrophe risk dispersion mechanism. Vigorously develop liability insurance and accelerate the development of commercial endowment insurance and enterprise annuity business. Actively participate in the reform of the medical and health system and promote the development of commercial health insurance. Give full play to the role of export credit insurance and promote foreign trade. We will steadily promote insurance institutions to invest in infrastructure projects such as transportation, communications and resources in the form of creditor's rights. We will steadily carry out pilot projects to invest insurance funds in equity of high-quality enterprises such as financial enterprises, and support industrial adjustment and enterprise reform.
The fifth is to further strengthen the construction of the foreign exchange market. We will continue to expand the breadth and depth of the foreign exchange market and form a foreign exchange market system with diversified trading methods, diversified participants, increasingly rich trading products and enhanced risk prevention capabilities. The first is to enrich the products in the foreign exchange market. Continue to steadily promote the construction of RMB foreign exchange derivatives market. Second, promote the infrastructure construction of the foreign exchange market. Improve the inter-bank foreign exchange market trading system and improve the foreign exchange market clearing mechanism. Third, improve the trading mechanism in the foreign exchange market. Coordinate the development of inter-bank foreign exchange market bidding and inquiry trading models to meet the diversified needs of different products for trading methods. Fourth, promote the opening of the domestic foreign exchange market. Study the introduction of overseas financial institutions to participate in the domestic foreign exchange market and encourage domestic financial institutions to participate in the overseas RMB foreign exchange market. Fifth, improve foreign exchange market supervision. Establish and improve relevant risk control measures in the foreign exchange market, and promote market players to strengthen the internal risk management system; Strengthen the monitoring of abnormal and illegal transactions to ensure the smooth and orderly operation of the foreign exchange market.
The sixth is to promote the healthy development of the gold market. Integrate and optimize the allocation of resources in the gold market. Strengthen the infrastructure construction of the gold market and further improve the trading, transportation, warehousing, delivery, gold account and clearing services in the gold market.