The Macro Prudential Assessment Framework of China

Abstract

This paper first introduces the basic concepts of macro-prudential assessment (MPA), and briefly introduces the background of MPA policy implementation, the key indicators of process and MPA assessment, the reward and punishment mechanism, as well as the purpose of China's macro-prudential assessment system. On this basis, this paper selected 15 listed banks as samples to analyze the achievement of the key indicators of MPA. In addition, it analyzes the influence of MPA evaluation system on bank management, introduces the broad credit standard to restrain the asset allocation mode; capital becomes the core constraint; the development mode needs to be adjusted. In addition, the countermeasures of strengthening the capital control, cultivating the awareness of enterprise capital saving, strengthening the strategic management, innovating the asset allocation system, improving the price management system, promoting reasonable pricing, innovating the development model, doing risk prevention and other improvement measures under the MPA mechanism are discussed.