Study On The Interconnection Of The Banking Industry In The Guangdong-Hong Kong-Macao Greater Bay Area

The "Outline of the Guangdong-Hong Kong-Macao Greater Bay Area Development Plan" puts forward "the orderly promotion of the interconnection of financial markets in the Greater Bay Area and the expansion of the scale and scope of RMB use in the Bay Area." Under the dual background of the construction of the Guangdong-Hong Kong-Macao Greater Bay Area and the RMB internationalization,this paper will proceed from the cooperation of the Guangdong-Hong Kong-Macao Greater Bay Area banking industry and study in depth the realization path of Guangdong-Hong Kong-Macao Greater Bay Area banking industry interconnection.The interconnection of the banking industry in the Guangdong-Hong Kong-Macao Greater Bay Area includes "banking integration" and "supervision integration".This article first comparatively analyzes the development status and supervision status of the banking industry in the three places,proving that the Guangdong-Hong Kong-Macao Greater Bay Area banks have a solid foundation for interconnection;secondly,it elaborate on the banking integration and regulatory cooperation status of the Guangdong-Hong Kong-Macao Greater Bay Area,and found that the current There are problems in the interconnection of the banking industry in the Greater Bay Area that have not yet unified the inter-regional currency circulation,have not completely liberalized inter-bank competition,the legal system is not perfect,the lack of effective regulatory agencies and effective feedback mechanisms;and then use the multiple diagonal VAR-VECH-The GARCH model measures the integration of the banking industry in the Guangdong-Hong Kong-Macao Greater Bay Area from2010 to 2019.The empirical results show that the current degree of banking integration in the Pearl River Delta and Hong Kong and Macao areas is still low,and the banking industry in Hong Kong and Macao has basically achieved interconnection.Since the implementation of the Hong Kong-Macao Greater Bay Area Development Plan,the integration of the banking industry in the three places has improved;finally,taking the EU banking industry as an example,the EU banking industry integration process and the establishment of a single regulatory mechanism were detailed,and thestudy found that inter-regional banks Integration requires reasonable institutional cooperation,adequate inter-bank competition,and effective cross-border regional organization.According to the research results,this article puts forward the following policy recommendations: for the integration of the banking industry in Guangdong,Hong Kong and Macau Greater Bay Area,it is recommended to promote the integration of market structure,integration of banking behavior and integration of banking effects;for the integration of banking supervision in Guangdong,Hong Kong and Macau Greater Bay Area,It is recommended to improve the level of supervision and coordination among the three places,including unified accounting standards and information disclosure mechanisms,establishing and improving banking laws,and improving cross-border banking crisis management mechanisms.