Thoughts on improving the accounting standards of my country’s central bank

[Date: 2008-09-29] Source: Author: Zhang Cailan [Font: Large, Medium, Small]

Perfect Thoughts on the Accounting Standards of the Central Bank of my country

[Date: 2008-09-29] Source: Author: Zhang Cailan [Font: Large, Medium, Small]

Abstract: The article has an impact on the accounting standards of the Central Bank of my country The current situation was discussed, existing problems were analyzed, and suggestions for measures to improve and improve the central bank's accounting standards were put forward.

Keywords: Suggestions on measures for problems with central bank accounting standards

With the increasing strengthening of world economic and financial integration and the internationalization of accounting standards, the accounting standards of central banks in various countries also tend to be more consistent. Truly and fairly reflect the operating conditions and financial results of central banks of various countries. Since the Central Bank of my country is responsible for formulating and executing monetary policies, maintaining financial stability, and providing financial services, its financial accounting implements an independent financial budget system, and the recognition and measurement of accounting elements adopts the cash basis and accounting method. The ability to reflect and supervise is far from meeting the requirements of the People's Bank of China for disclosing accounting information after joining the WTO. Therefore, it is imperative to improve the accounting standards of my country's central bank.

1. Current Situation of Accounting Standards of my country’s Central Bank

1. Accounting standards of my country’s Central Bank. The Accounting Law of the People's Republic of China and the State Council, the Budget Law of the People's Republic of China and other relevant national laws, regulations and fiscal and financial policies promulgated and implemented by the Ministry of Finance in 2001 have become the guiding principles for the accounting work of the Central Bank of my country. Guidance documents. At the same time, after more than 20 years of development, the accounting work of the Central Bank of my country has established a relatively complete accounting management system. "Interim Measures for the Supervision and Administration of Capital Construction Projects of the People's Bank of China" and so on. The establishment of laws, regulations and internal rules and regulations plays an important role in strengthening financial management, exercising the functions of the central bank, reflecting economic conditions, supervising economic activities, predicting economic prospects, and participating in economic decision-making. important role. The Central Bank of my country has also formed a relatively complete set of accounting and financial standards.

(1) Financial work standards of my country’s central bank. At present, the People's Bank of China implements an independent financial budget management system, implements a financial management system of "unified leadership, budget management, hierarchical accounting, and unified responsibility for profits and losses", and follows the cash accounting principle. The owner's equity of the People's Bank of China is entirely owned by the state and cannot be changed without the approval of the Ministry of Finance; re-loans and re-discounts among various assets should be issued and operated according to the needs of the country's implementation of monetary policies. The management of foreign exchange reserves must adhere to safety and security. The principles of liquidity and profitability; all liabilities are valued according to the actual amount incurred, the issuance of bonds is valued at the face value of the bond, and the various expenses incurred by the issuance of bonds are included in the business expenses of the current period; the recognition of various financial income is based on the amount received by the People's Bank of China. All incomes are then included in the corresponding accounts; all expenditures are included in the accounting of financial expenditures, and financial expenditures are reported in accordance with the prescribed accounting content, and no accruals are allowed; the scope and standards of expenses should be determined by the People's Bank of China in strict accordance with relevant national regulations Formulated and submitted to the Ministry of Finance for approval before being issued for implementation; the profit of the whole bank of the People's Bank of China is equal to various income minus various expenditures. After the profit of the whole bank is withdrawn from the total reserve fund according to the proportion approved by the Ministry of Finance, the net profit will be turned over to the central finance by the head office. Net losses will first be made up by the total reserves drawn over the years, and the shortfall will be made up by the central government. The People's Bank of China's final financial accounts report shall be submitted to the superior bank and the dispatched office of the Ministry of Finance within the prescribed time limit after the end of the year. Every year, the head office shall submit accounting statements to the Ministry of Finance within three months after the end of the year. The financial revenue and expenditure and accounting affairs of the People's Bank of China are subject to the audit and supervision of the audit department and the finance department of the State Council.

(2) Accounting standards of the Central Bank of my country. The central bank of my country adopts the cash basis accounting principle for its accounting.

(1) The proportion of non-performing assets of my country’s central bank is relatively high. The main non-performing assets in our country are gold and silver loans, re-loans, etc. The main reason for the formation of non-performing assets is that the central bank implements special policies for regional financial institutions and special enterprises in order to implement macroeconomic control needs. (2) The asset management of my country’s grassroots central banks is not scientific enough. First, the re-lending structure is mixed, with both normal loans and precipitated funds, which cannot truly reflect the loan quality of the People's Bank of China. Second, there is a large gap between the book value of fixed assets and the actual value, which cannot truly reflect the fixed assets of the central bank. There are two aspects to performance. First, after the reform of the financial system in 1994, the People's Bank of China no longer provided depreciation on fixed assets, and the book value of fixed assets was higher than the actual value; second, the scrapping speed of fixed assets, especially electronic equipment, was slow.

3. Measures to improve the accounting standards of my country’s central bank

1. Reform the accounting standards of the People’s Bank of China and gradually bring them closer to international accounting standards. Learn from the accounting standards of foreign central banks and adopt the principle of prudence to truly and fairly reflect the operating results of the central bank.

2. Strengthen the asset management of my country’s central bank and effectively prevent asset risks. First, we must carefully verify the various assets of our country’s central bank and get a clear bottom line. Write-off standards should be established for refinance loans that have already suffered losses. For various assets that have been lost or do not belong to the central bank, the reasons must be explained in detail and reported to the head office for unified disposal. If a responsible person is involved in the asset verification process, the relevant responsible person must be dealt with. The second is to refer to international accounting standards to scientifically classify the re-loans of the Central Bank of my country and divide them into three categories: normal, special mention and non-performing loans. For re-loans and special loans that have been lost or have no hope of recovery, different management will be implemented after verification. and methods. The third is to require financial institutions or specific enterprises to provide mortgages or guarantees for various loans issued by the central bank. Loans come in the form of guarantees, mortgages and pledges to minimize asset losses.

3. Accelerate the accounting information disclosure mechanism of my country’s central bank and gradually realize the standardization and procedure of accounting information disclosure. The first is to speed up the construction of a modern payment system and realize the centralization and networking of accounting; the second is to speed up the internal audit of the central bank, hire qualified auditors to conduct quarterly and annual business and annual budget execution, and gradually announce it to the public. accounting information.