my country's treasury bond market, whether it is the primary market or the secondary market, has achieved remarkable results and presents the following four characteristics: 1. The issuance scale is huge and the term structure tends to be reasonable.

In 2001, total issuance of book-entry treasury bonds totaled 308.353 billion yuan, of which 212.353 billion yuan was issued in the inter-bank bond market and 96 billion yuan was issued in the exchange market.

The interest rate structure is dominated by fixed-rate treasury bonds. Among the 16 issues of treasury bonds issued throughout the year, there are only two periods of floating-rate treasury bonds, with a total issuance of 40 billion yuan.

Compared with previous years, the biggest breakthrough in the primary market for government bonds is that the term structure is more reasonable. The first issuance of 15-year and 20-year government bonds has basically formed the government bond yield curve, providing a pricing basis for bond sales and new bond issuance.

The fly in the ointment is that no 10-year fixed-rate Treasury bonds were issued in 2001, causing a gap in the yield curve; at the same time, Treasury bonds with a maturity of less than 2 years have not been issued, causing short-term bond pricing to rely too much on repurchase market interest rates.

2. The issuance and trading of government bonds on the exchange market have become more active again.

Compared with previous years, the scale of bond issuance in the exchange market has achieved a breakthrough. Five tranches of 96 billion yuan of government bonds were issued throughout the year, an increase of 70 billion yuan from the previous year.

In 2001, the stock market was in a long-term downturn, and the exchange bond market became a safe haven for funds. The shortage of bonds was very prominent.

To this end, the Ministry of Finance has promptly increased the issuance scale of bonds on the exchange market, which not only meets the needs of investors, but also effectively reduces the cost of bond issuance.

Corresponding to the boom in issuance in the primary market, bond trading in the secondary market is extremely active and prices continue to rise.

3. The connection between the exchange bond market and the inter-bank bond market has been significantly strengthened.

Since the second half of 2001, the mutual influence between the exchange bond market and the interbank bond market has begun to strengthen. The pricing of government bonds in the exchange market has become an important factor in the pricing of government bonds in the interbank market. The pricing of government bonds in the interbank market has

Exchange markets have also had an impact.

At this time, the Ministry of Finance issued bonds at intervals between the two markets, with basically the same maturity types, providing a good reference for comparing the pricing of government bonds in the two markets.

4. The liquidity of the inter-bank bond market’s secondary market has increased significantly, and spot bond transactions have become more active.

In 2001, the central bank and intermediaries took a series of measures to strengthen the construction of the inter-bank spot market.

On July 1, the inter-bank market took the lead in adopting net price trading; on July 25, the bilateral quotation provider system was officially implemented.

Judging from the implementation results of more than four months, the market-making capabilities of bilateral quotations have been initially tested and affirmed by the market.

The declining market interest rates in 2001 and strong expectations for local currency interest rate cuts also became important factors that stimulated spot bond transactions.

Compared with previous years, market investors' awareness of participating in spot bond trading increased significantly in 2001, and their attention to and recognition of spot bond trading increased significantly.

Looking at the whole year of 2001, the inter-bank market's spot trading was very light in the first half of the year and gradually picked up in the second half of the year.

Medium and long-term fixed-rate government bonds were launched first, and then floating-rate government bonds became the protagonist of the transaction, which eventually led to the explosive trading of floating-rate financial bonds.

After October, as the central bank continued to strengthen its open market spot bond operations, the volume of spot bond transactions hit new highs.

The enhanced liquidity in the secondary market provides a strong pricing basis for the issuance of government bonds in the primary market and changes the disconnect between the primary and secondary markets.

It can be seen from this that the prosperity and development of my country's national debt market is becoming increasingly mature, and the management level of the national debt market has been continuously improved, creating a group of national debt management talents and accumulating rich experience in facing challenges after joining the WTO.

2. Strategies for the development of my country’s treasury bond market after China’s accession to the WTO 1. Continuously and steadily expand the scale of the primary treasury bond market.

In the years after joining the WTO, national bond issuance policies should focus on the needs of the following aspects: first, the need for industrial structure adjustment and upgrading; second, the need for strategic energy reserves; third, the need to establish a social security mechanism; fourth, the need to maintain necessary fiscal

The need for correspondence between revenue and expenditure.

The scale of treasury bond issuance can be considered to basically keep pace with GDP growth; the issuance of long-term fixed-rate treasury bonds with a maturity of 10 to 20 years can be appropriately expanded to reduce the average issuance cost and frequency of treasury bonds.

2. Focus on improving market liquidity and comprehensively strengthen the construction of the secondary market.

In the next 5 to 10 years, the government should focus on the following four tasks to improve market liquidity; first, introduce inter-bank brokers with reference to international operating rules and actively establish a market maker system; second, improve the fund clearing and bond settlement mechanisms

, realize "deposit versus payment" as soon as possible; third, strive to open up the inter-bank bond market and the exchange treasury bond market, realize unified custody or realize a single account settlement mechanism, and improve market efficiency; fourth, gradually introduce derivatives, and strictly implement risk management and

With the support of a unified custody system, derivatives such as "open repos", forwards, and exchange market futures will be gradually introduced.

3. Promote market information construction and legal system construction.

First, we must seize favorable opportunities, take measures to build a professional treasury bond information system and quotation system, and cultivate professional information service providers; second, we must strengthen system construction and improve the supervision system.

Gradually form a relatively scientific and strict market scale system and an efficient and sensitive supervision system, basically in line with international standards.

4. Help domestic market participants improve their quality, enhance their market advantages, expand their share of intermediate business, and improve their market competitiveness.

First, increase training for market participants.