The paper aims to examine the relationship between corporate governance and debt management of Vietnam＇s small and medium enterprises （SMEs）, in a case study of a specific enterprise. It reveals one case that corpo...The paper aims to examine the relationship between corporate governance and debt management of Vietnam＇s small and medium enterprises （SMEs）, in a case study of a specific enterprise. It reveals one case that corporate governance factors have strong correlation with performance, due to transparency to the lender, innovative and consistent to the debt management. The results indicate that timely reporting and level of disclosure positively affect corporate performance and ability to raise funds in the financial market. The paper seeds new light into the relationship between corporate governance and debt management of Vietnam＇s SMEs in current context. It finds ways to solve financial dilemma and raise corporate equity value that most SMEs are facing.展开更多
Research by the UK-based Jubilee Debt Campaign showed that debt in some Sub Saharan Mrica coun tries has increased by 50 percent in the past two years, the highest level since 2005. International organizations such as...Research by the UK-based Jubilee Debt Campaign showed that debt in some Sub Saharan Mrica coun tries has increased by 50 percent in the past two years, the highest level since 2005. International organizations such as the World Bank and the International Mon etary, Fund （IMF） have also issued warnings about potential debt crisis in Africa.展开更多
Debt is the main source of funds for small and medium-sized banks in rural areas. Good debt quality is an important basis for healthy and sustainable operation of small and medium-sized banks. On March 23, 2021, China...Debt is the main source of funds for small and medium-sized banks in rural areas. Good debt quality is an important basis for healthy and sustainable operation of small and medium-sized banks. On March 23, 2021, China Banking and Insurance Regulatory Commission, China issued the Measures for the Administration of Debt Quality of Commercial Banks (hereinafter referred to as the Measures), which posed a severe challenge to commercial banks, especially small and medium-sized rural commercial banks, on how to change their traditional business philosophy and business model, adapt to the new regulatory requirements and optimize their core competitiveness. For small and medium-sized rural banks, there are significant differences from large state-owned banks and city commercial banks in terms of their operation orientation, market environment, customer base, product innovation, brand reputation and debt quality management capabilities, and there is still a gap between them and the requirements of the Measures in terms of debt quality management. How to adapt to the management evaluation standard of bank debt business in China Banking and Insurance Regulatory Commission and construct a debt business quality management system that is more in line with the characteristics of small and medium-sized rural banks is the focus of this paper. Based on the current situation and difficulties of debt quality management of small and medium-sized rural commercial banks, this paper puts forward corresponding improvement measures, in order to provide reference for small and medium-sized rural banks to improve their debt management ability, comprehensively optimize the debt structure, improve the debt quality and adapt to regulatory measures.展开更多
Debt-to-GDP measures in major OECD countries are at historical highs and a considerable part of sovereign debt needs to be refinanced soon,while projections of real GDP growth are fairly weak and uncertain and assesse...Debt-to-GDP measures in major OECD countries are at historical highs and a considerable part of sovereign debt needs to be refinanced soon,while projections of real GDP growth are fairly weak and uncertain and assessed sovereign credit quality has declined.Against this,the OECD Committee on Financial Markets discussed proposals for sovereign debt managers to consider issuing GDP-linked sovereign bonds.The Committee considered proposals timely and the idea conceptually attractive,as additional insurance against economic downturns over the medium term would be available.It identified however also a number of issues that would complicate issuance in practise.Questions arise in particular as regards investor demand for such instruments and how an additional novelty,liquidity and indexation premium would compare to a potentially reduced default premium on more traditional debt.Debt management offices confirm and stress such practical difficulties and remain sceptical,quoting a lack of sustainable demand for such bonds.As a result,issuance of such bonds would be too costly.It is not clear however whether debt management offices take into account the full macroeconomic and financial stability risk-return trade-off that a broader perspective would take into account.Proposals for issuance of sovereign GDP-linked bonds among advanced economies,which had received increased attention after the German G20-presidency included the topic in the G20 finance track,may have lost some momentum,but there continues to be considerable support from both academics and some practitioners.展开更多
CHINA FOREX:What specific measures did the Capital Account Management Department implement in 2024 to facilitate high・standai*d capital account opening-up while supporting the real economy?XIAO Sheng:In 2024,the Capit...CHINA FOREX:What specific measures did the Capital Account Management Department implement in 2024 to facilitate high・standai*d capital account opening-up while supporting the real economy?XIAO Sheng:In 2024,the Capital Account Management Department implemented the directives of the Central Committee of the Communist Party of China(CPC)and the State Council,adhering to the principle of pursuing progress while ensuring stability.The department effectively balanced openness with security,advancing reforms in direct investment and external debt management.展开更多
Where policy has substantially increased central bank assets, the corresponding liabilities present an opportunity to increase the breadth, depth and liquidity of the government bond market. In China＇s case, transfor...Where policy has substantially increased central bank assets, the corresponding liabilities present an opportunity to increase the breadth, depth and liquidity of the government bond market. In China＇s case, transformed illiquid central bank liabilities couM double or triple the stock of government bonds. Central bank liabilities can be transformed into government bonds either through the government ＂s purchase of foreign exchange reserves held by the central bank or by the government overfunding its borrowing requirement and depositing the proceeds in the central bank. The overfunding approach is preferred if, for financial stability reasons, it is judged prudent to leave the central bank with sufficient resources to serve itself as lender of last resort in foreign currency to the banking system. In the case of China, public debt consolidation could also contribute to further liberalizing the Chinese banking system, wider international use of the renminbi and more balanced holdings of key currency government bonds.展开更多
文摘The paper aims to examine the relationship between corporate governance and debt management of Vietnam＇s small and medium enterprises （SMEs）, in a case study of a specific enterprise. It reveals one case that corporate governance factors have strong correlation with performance, due to transparency to the lender, innovative and consistent to the debt management. The results indicate that timely reporting and level of disclosure positively affect corporate performance and ability to raise funds in the financial market. The paper seeds new light into the relationship between corporate governance and debt management of Vietnam＇s SMEs in current context. It finds ways to solve financial dilemma and raise corporate equity value that most SMEs are facing.
文摘Research by the UK-based Jubilee Debt Campaign showed that debt in some Sub Saharan Mrica coun tries has increased by 50 percent in the past two years, the highest level since 2005. International organizations such as the World Bank and the International Mon etary, Fund （IMF） have also issued warnings about potential debt crisis in Africa.
文摘Debt is the main source of funds for small and medium-sized banks in rural areas. Good debt quality is an important basis for healthy and sustainable operation of small and medium-sized banks. On March 23, 2021, China Banking and Insurance Regulatory Commission, China issued the Measures for the Administration of Debt Quality of Commercial Banks (hereinafter referred to as the Measures), which posed a severe challenge to commercial banks, especially small and medium-sized rural commercial banks, on how to change their traditional business philosophy and business model, adapt to the new regulatory requirements and optimize their core competitiveness. For small and medium-sized rural banks, there are significant differences from large state-owned banks and city commercial banks in terms of their operation orientation, market environment, customer base, product innovation, brand reputation and debt quality management capabilities, and there is still a gap between them and the requirements of the Measures in terms of debt quality management. How to adapt to the management evaluation standard of bank debt business in China Banking and Insurance Regulatory Commission and construct a debt business quality management system that is more in line with the characteristics of small and medium-sized rural banks is the focus of this paper. Based on the current situation and difficulties of debt quality management of small and medium-sized rural commercial banks, this paper puts forward corresponding improvement measures, in order to provide reference for small and medium-sized rural banks to improve their debt management ability, comprehensively optimize the debt structure, improve the debt quality and adapt to regulatory measures.
文摘Debt-to-GDP measures in major OECD countries are at historical highs and a considerable part of sovereign debt needs to be refinanced soon,while projections of real GDP growth are fairly weak and uncertain and assessed sovereign credit quality has declined.Against this,the OECD Committee on Financial Markets discussed proposals for sovereign debt managers to consider issuing GDP-linked sovereign bonds.The Committee considered proposals timely and the idea conceptually attractive,as additional insurance against economic downturns over the medium term would be available.It identified however also a number of issues that would complicate issuance in practise.Questions arise in particular as regards investor demand for such instruments and how an additional novelty,liquidity and indexation premium would compare to a potentially reduced default premium on more traditional debt.Debt management offices confirm and stress such practical difficulties and remain sceptical,quoting a lack of sustainable demand for such bonds.As a result,issuance of such bonds would be too costly.It is not clear however whether debt management offices take into account the full macroeconomic and financial stability risk-return trade-off that a broader perspective would take into account.Proposals for issuance of sovereign GDP-linked bonds among advanced economies,which had received increased attention after the German G20-presidency included the topic in the G20 finance track,may have lost some momentum,but there continues to be considerable support from both academics and some practitioners.
文摘CHINA FOREX:What specific measures did the Capital Account Management Department implement in 2024 to facilitate high・standai*d capital account opening-up while supporting the real economy?XIAO Sheng:In 2024,the Capital Account Management Department implemented the directives of the Central Committee of the Communist Party of China(CPC)and the State Council,adhering to the principle of pursuing progress while ensuring stability.The department effectively balanced openness with security,advancing reforms in direct investment and external debt management.
文摘Where policy has substantially increased central bank assets, the corresponding liabilities present an opportunity to increase the breadth, depth and liquidity of the government bond market. In China＇s case, transformed illiquid central bank liabilities couM double or triple the stock of government bonds. Central bank liabilities can be transformed into government bonds either through the government ＂s purchase of foreign exchange reserves held by the central bank or by the government overfunding its borrowing requirement and depositing the proceeds in the central bank. The overfunding approach is preferred if, for financial stability reasons, it is judged prudent to leave the central bank with sufficient resources to serve itself as lender of last resort in foreign currency to the banking system. In the case of China, public debt consolidation could also contribute to further liberalizing the Chinese banking system, wider international use of the renminbi and more balanced holdings of key currency government bonds.
