Indirect Finance Support To Non-state-owned Economy

As a focus with most vitality and vigor in national economy, non-state-owned economy has been an important factor of supporting and promoting economy increase. But it is a dissymmetry that finance medium institutions give limited indirect finance support to non-state-owned economy. Faced with such a financial dilemma, investment of non-state-owned economy increases weakly, which affects economy development in resent years. How to provide non-state-owned economy with more finance support to relieve present financial dilemma becomes a problem with vital importance. Starts with the financial dilemma of non-state-owned economy, this paper analyses the effect of finance restraint on their capital-raising ability, present situation of supporting from kinds of finance medium institutions, and puts forward some policy suggestions strengthening the indirect finance support to non-state-owned economy.Firstly, this paper introduces the developing experience of non-state-owned economy and discloses the present financial dilemma, and analyses the unfavorable effect of financial dilemma of non-state-owned economy on economy increase. Then the paper analyses the effect of finance restraint on capital-raising ability of non-state-owned economy from three aspects. The paper also analyses the credit activities of present finance medium institutions. Then the paper analyses the necessities, present position,Iand obstructions of supporting from state-owned commercial banks to non-state-owned economy, and probes into the situation, advantages and barriers of supporting from non-state-owned financial institutions to non-state-owned economy. In addition, the present situation, advantages and obstructions of nongovernmental financial organizations providing funds to non-state-owned economy are also discussed in this paper. On the basis of above analysis, the paper puts forward some policy suggestions of strengthening indirect finance support to non-state-owned economy. The paper points out that private-owned financial institutions should be developed energetically and the practical development routes are put forward. Specific plan of credit system reform in state-owned commercial banks is advanced too. In the respect of system construction of government, the paper suggests that the government should carry forward interest rate liberalization, set up credit system, perfect credit assurance system, establish deposit insurance system and enhance the efficiency of assurance and mortgage system and financial judicatory etc.