Nguyen, Chu (2017) The People’s Republic of China’s Interest Rate Pass-Through. In: 2nd International Research Conference on Economics Business and Social Sciences, 11-12 July 2017, Park Royal Hotel, Penang Malaysia..

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Abstract

Notwithstanding China’s economic liberation and performances, the country’s Central Bank has been perusing interest rate dual-track system, i.e., the control over the deposit and loan interest rates and a free market determination of interest rates of the inter-bank and bond markets. Therefore, China provides an interesting case to study the interest rate pass-through. The empirical results reveal that both the short- and long-run interest rate pass-through are very incomplete (low).The bonds test result suggests no long-run relationship between the Central Bank counter cyclical monetary policy and the commercial banks' lending rate in the credit markets.These are much different than those reports in most of advanced and emerging economies and suggest that the Central Bank lacks of credibility in conducting its monetary policy.

Item Type:	Conference or Workshop Item (Paper)
Additional Information:	ISSN-2523-1537 Cover and Layout: Sobia Nasir, Center for Sustainability Research and Consultancy Distributed by: School of Economics, Bahauddin Zakariya University Multan Pakistan (www.bzu.edu.pk) Center for Sustainability Research and Consultancy (www.globalcsrc.org) School of Economics Finance and Banking, Universiti Utara Malaysia (www.sefb.uum.edu.my)
Uncontrolled Keywords:	Monetary policy; commercial banks; lending rate; interest rate pass-through; central bank discount rate; impact lag of counter cyclical monetary policy; china.
Subjects:	H Social Sciences > HG Finance
Divisions:	School of Business Management
Depositing User:	Mrs. Norazmilah Yaakub
Date Deposited:	23 Sep 2018 07:44
Last Modified:	23 Sep 2018 07:44
URI:	https://repo.uum.edu.my/id/eprint/23060

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