The Study On Benchmark Interest Rate Adjustment Of Our Country At The Present Stage

The rampant international financial crisis is abating and the world economy can expect a recovery growth at present, but the foundation for world economic recovery is still fragile. The economy of our country has been stabilized toward resurgence and is now in a period with strategic opportunities. The orientation of our country to the moderately easy monetary policy has kept unchanged. The benchmark interest rate has been reduced to 2.25%, the lowest point since the marketization of interest rate in 1996.Positive analysis versus normative analysis, quantitative and qualitative analysis, dynamic and static analysis, comparative analysis and other methods of study are used by this paper to make study on the benchmark interest rate adjustment of our country at the present stage, make analysis on the track, background and effect of the benchmark interest rate adjustment of our country at the present stage on basis of description of the basic theory of benchmark interest rate, make study on the standing of the benchmark interest rate of the USA and Japan and their experience for our reference and at last put forward countermeasures and suggestions for the benchmark interest rate adjustment of our country on the background of the international financial crisis.The benchmark interest rate in our country means the interest rate for one-year term-deposit of the financial institutions specified by the Central Government. The Central Bank of our country takes adjustment of benchmark interest rate as an important measure for macro-regulation. The benchmark interest rate is regulated up or down in due time to meet the change of economic situation, resulting in good policy effect.The benchmark interest rate was lowered by our country in 1996-2003 and as a result the domestic demand was boosted; the benchmark interest rate was raised in 2004-2007 and as a result the effect of economic deflation was achieved; the benchmark interest rate was regulated to a lower level from 2008 up to now and as a result the effect of economic stimulus was achieved.The United States, Japan and other countries have taken the monetary policy to lower their benchmark interest rates since the outbreak of the international financial crisis in 2008. The positive and negative experience of developed countries in benchmark interest rate adjustment shall be learned by our country for our reference. In order to continue to deal with the international financial crises and further promote rationalization of the benchmark interest rate adjustment of our country, we must choose correct target mode for benchmark interest rate adjustment and take effective countermeasures, such as system and institutional innovation for active promotion to benchmark interest rate adjustment, improvement of financial market system, strengthened credit risk control and comprehensive use of monetary policy tools.Our country has to continue to deal with the international financial crisis in 2010 and the current rational adjustment of benchmark interest rate is still in a dilemma. Of course, the international financial crisis will end sooner or later, but the rational adjustment of benchmark interest rate will have a long way to go in our country. The issue of benchmark interest rate adjustment in our country requires a continued long-term study.