The former economist of China Foreign Exchange Agency Miao Yanliang believes that China's current interest rates are too high, and interest rates should be reduced and the central government has increased its debt.
According to Bloomberg, Miao Yanliang issued the above views at the seminar at the International Monetary Fund (IMF) annual meeting of the International Monetary Fund (IMF) held last Friday (October 13).
Miao Yanliang, who currently serves as the chief strategist of CICC, believes that the fiscal policy Bit and monetary policy is important. If Chinese officials have reduced interest rates and the government increases leverage, the market performance will be much better.
Miao Yanliang does not agree that China has entered the decline of the Japanese -style balance sheet, but he pointed out that China is in the early stages of "liquidity trap".It's not spent.
Miao Yanliang's analysis, Beijing's policy actions have limited policy actions, which may show that "the situation is not so bad", and the official also hopes to avoid the negative effects of the previous rounds of stimulus measures.
Miao Yanliang said that at present, there is a disconnection between the policy and the capital market. The decision makers have different views on the current situation and may have a longer -term plan.
He also emphasized that the most fundamental reason for this is that the situation is not so bad. "If it is really bad, they can quickly reverse the situation."
In order to expand credit and boost the real economy, the People's Bank of China has lowered the loan interest rate at the end of August, but the scope and amplitude of the decline are less than expected.
