Asian Bond Market Development Problems And Solutions

In the trend of world economic globalizing and regional economic integrating,the process of regional financial cooperation is increasingly accelerated, in the shortterm, the Asian bond market as the region most likely to make substantive progressof financial cooperation projects, has always been the focus of all countries, and hasmade a certain progress in the related field. But these results or were abandoned, orstagnate, anyway does not promote the rapid development of the Asian bond market.This paper on the basis of predecessors’ study in-depth analysis in the developmentprocess of the Asian bond market existing problems and difficulties, and the specificcountermeasures and Suggestions are given to solve these problems, so as to furtherpromote the Asian financial cooperation and promote economic growth in Asia.On the basis of existing research, this paper redefine the concept of the Asianbond market, believe that education is the bond market which based on the frameworkof "10+3". Asian bond market has not only optimize the allocation of resources, topromote financial cooperation, such as significance, its development also hassufficient theoretical basis and foundation, including the theory of function in thebond market, bond market scale theory, the "double mismatch" theory, the theory ofeurozone bond market success；therefore, the establishment and development of theAsian bond market is the product of the era and realistic demand. However, the Asianbond market in currency swaps, Asian bond fund’s achievements and infrastructureconstruction is not converted into internal impetus for the development of this market,the main problems is mainly displays in three aspects that Asia country differences,Infrastructure is not sound, Asian bond lack of reasonable currency; among them, thelast problem is the most important and the most major problem.For one of the main problems, the article has carried on the empirical research.In numerous options, to adopt the method of qualitative analysis by comparingdifferent solutions including the dollar, yen, renminbi and a basket of currencies solutions, ultimately determine the optimal value of currency, namely to a basket ofcurrencies; Then quantitative analysis and the comparison of European monetary unitof the formula and share distribution formula of the IMF think distribution formula ismore suitable for the IMF’s share to draw lessons from for the Asian bond valuecomposition formula of currency basket, through the formula to quantify the specificcomposition of the basket, obtained the10+3countries’ currencies in the basket ofratio; Finally according to the result of this ratio distribution to determine the initialconversion ratio of a basket of currencies. In addition, according to the Asian bondmarket development in several other aspects of the problem, this paper argues thatought to develop a domestic bond market first, then gradually improve financialstructure, coordination of economic policy, international bond, in order to impel theimplementation of a basket of currencies scheme; And the need to establish acomplete information disclosure system and perfect legal protection system, graduallyintegrated infrastructure, unified accounting standards.This paper attempts to explore and try to break through the following two aspects:first, because of the existing literature on research of the Asian bond market relativelyfuzzy geographical concept, aiming at the phenomenon of the concept of the Asianbond market made afresh from geographically defined. Second, on the Asian bondduring the quantitative analysis to a basket of currencies, the adopted the revisedformula of the initial weight distribution, the results showed that the revised formulais more suitable for the actual situation of the region. According to the formula ofcalculation results, the article further refine the initial exchange rate conversion tobasket of currencies.