Macro-Finance Salon (No. 91): The Logic and Framework of Money Analysis

2018-03-28 IMI

On March 28, Minutes of Macro-Finance Salon (No. 91) was held at Renmin University of China. The salon invited Dr. Wang Jian, chief analyst of banking industry from Guotai Junan Securities Research Institute, IMI researcher. Dr. Wang gave a speech with the title of “The Logic and Framework of Money Analysis”. Luo Yu, associate professor of the school of finance at RUC, and Yin Ruizhe, chief fixed income analyst of the R&D Center of China Merchants Securities also attended the salon. At present, China's economic development has entered a new era. While we are striving for greater achievements, we are facing increasingly complex challenges. Money analysis is a powerful weapon for understanding and coping with the complex economic situation. Dr. Wang shared with us his thoughts on how to grasp the logic and framework of money analysis. Dr. Wang centered on the issue of how the central bank reckons the amount of currency needed in the next year and through what channels the extra currency will be issued. He also explained the balance sheet summaries of the central bank and commercial banks, the basic approach to forecast the M2 growth, the source of M2, the instruments of basic money supply used by the central bank, the evolution of the new loan structure and developing tendency of off-balance-sheet business. Dr. Wang integrated the knowledge of commercial banking, providing the students with guidelines on money analysis. Prof. Luo Yu fully appreciated the experience accumulated by Dr. Wang in financial industry and believed that the perspective of the industry could help with the process of money analysis. He also shared his understanding of the role of financial diversification, funds outstanding for foreign exchange and money analysis.

DOWNLOAD

Macro-Finance Salon (No. 91): The Logic and Framework of Money Analysis

related articles

tags