China's Corporate Bond Market Development Of The Banking Sector Coordination

With the twenties' reform and development, our country monetary system reformis going deep into, although its development still obviously is in backwardnesscompares with the overseas developed countries, the capital market has achieved greatdevelopment, and our country corporate bond market obtains the considerabledevelopment. The most important is that regardless of the academic circles or thegovernment decision-making all already achieves the mutual recognition: to developthe corporate bond market vigorously. With the government implus, great changeshave taken place in corporate bond products and function. There hven been many newbond products such as floating interest-rate, interest-rate exchange, bond productsembed in one or two options ect. And the corporate bond not only has appeared thefinancing function, the investment function, but its interest rate function, the capitalfunction and derive from function and so on also gradually come out. As we know,corporate bond financing and the bank loan both belong to debt financing, then duringthe development of the corporate bond market, what influences it will bring to thebanking, how to influence the corporat bond market development by the banking, andthe mutual effects whether nteris opposite or icoordination communal development, isprecisely this article must study.In history views, I firstly study the most representative two kind of financialsystem US and Germany's corporate bond market, then the facts of the Southeast Asiacountry corporate bond market after the 1997 crisis in solving its bank crisis, fromthese we can see there are mutually affects and intercoordination developmentrelations between the corporate bond market and the banking, specially the corporatbond market has the unique function in melting the banking crisis, maintains thefinancial system stability aspect. Then I analyze our country corporate bond marketand banking development course and the difficulties, discovery the reason of thecorporate bond market developing lag behind is historical and the thought question,but the most is lack the financial intermediary omni-directional thorough participation,simultaneously the banking faces the deadline wrong matches, the currency wrongcoordination and risk agglomeration and so on. All of these urgent require a perfectcorporate bond market to solve these difficulities. Thus it is necessary to make thecorportate bond market and the banking develop harmonic.Then I study the relationship between the corporate bond market and the bankingby empirical and positive approach. From the operation angle, we can see the corporate bond market's development may substitute the banking's asset operation,the liability operation in some way, but the banking can make use of the corporatebond market to innovate and develop its inter-operation to make new profits. From thefunction angle, we can see the corporate bond market's development can perfect thebanking's management, improve its liquidity and asset-liability sheet as well as solvethe banking risk. Simultaneously the banking can take part in the corporate bondmarket as the publisher, seller, investor and so on, to promote the corporate bondmarket fast health to develop. Besides, by selecting some correlation variable withEviews econometric software to analyze, and we can see ther are mutually affectsrelation indeed. So there are many reasons to develop the corporate bond market andthe banking harmonic.In the last chapter, I think the most is that we must guard against risk when wedevelop the corporate bond market and the banking harmonic and draw out somesuggestion in how to make both of them develop harmonic further.