The Impact Of Interest Rate Liberalization On The Debt Financing Costs Of Small And Medium Board And GEM Enterprises

The reform of China’s interest rate marketization took the liberalization of the interbank lending market interest rate as the real starting point in 1996.By 2015,the government’s liberalization of the deposit interest rate ceiling of financial institutions marked the basic completion of China’s interest rate marketization reform.At present,China’s interest rate marketization reform is still continuing,and the realization of interest rate marketization can only be achieved by realizing the transition from "two-track" to "one-track" interest rates and establishing a more competitive financial market.The ultimate goal of interest rate marketization reform is to achieve the effective allocation of funds.Based on the perspective of micro-enterprises,the author discusses the impact of interest rate marketization reform on corporate debt financing costs.Small and medium-sized enterprises and private enterprises are the most dynamic economic components in China’s national economy.However,for a long time,due to interest rate control and severe credit discrimination in China ’s credit market,a large amount of credit resources have been occupied by large,state-owned enterprises.Small and medium-sized and private enterprises have long faced the problems of difficult and expensive financing.An important purpose of interest rate marketization reform is to hope that small and medium-sized and private enterprises can obtain more and more preferential credit resources.Based on this,the author discusses the impact of interest rate liberalization on the debt financing costs of SME and GEM companies on the basis of research by relevant scholars.As a typical representative of China’s high-quality small and medium-sized and private enterprises,small and medium-sized board and GEM companies have long been expensive listed companies,but still face the problems of difficult financingand expensive financing compared with listed companies on the main board.Through empirical research,the author finds that the marketization of interest rates can effectively reduce the debt financing costs of small and medium-sized board and GEM companies,especially private enterprises,which shows the correctness of the direction of China’s interest rate marketization reform to a certain extent.But on the other hand,the author empirically analyzes by constructing the interactive item of interest rate marketization variables and virtual variables of high-growth and low-risk companies and finds that compared with general companies,interest rate marketization has not significantly reduced high-growth and low-risk Corporate debt financing costs.This shows to a certain extent that the reform of interest rate marketization has not significantly improved the loan pricing power of commercial banks and other financial institutions in the short term.This may not be conducive to reducing the cost of debt financing for truly high-quality small and medium-sized and private enterprises.It reflects that there may be some blindness in the competition between China’s banking industry and other financial institutions,which may aggravate the operating risks of financial institutions.Finally,based on the achievements and existing problems of China’s interest rate marketization reform,the author puts forward some shallow policy suggestions on the direction of China’s interest rate marketization reform.Considering the possible impact of interest rate marketization reform on commercial banks and general enterprises,the author puts forward some views on how commercial banks and general enterprises should respond to interest rate marketization reform from the perspective of the above two micro subjects.