China's provident fund system needs to be further

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China's provident fund system must be further improved

the "cat and mouse game" around the housing provident fund is always going on. Although most of the loopholes have been blocked through the continuous improvement of the management system, it still faces many practical difficulties. In this regard, the experts interviewed pointed out that to solve the many problems exposed by the housing provident fund system in reality, we should not only severely crack down on illegal arbitrage, but also comprehensively design technical indicators to further improve the housing provident fund system

first of all, strengthen information links and severely crack down on illegal access to housing provident fund. Li Yongzhuang, director of the people's livelihood and economic research center of the Central University of Finance and economics, believes that under the existing institutional framework, policy loopholes should be filled in time, the housing provident fund information should be further connected with the Civil Affairs Department, the social security department and the public security department, the information link should be strengthened, and all kinds of illegal embezzlement of provident fund should be severely cracked down

secondly, we should strengthen the overall planning of housing provident funds in various regions and improve the value-added income of housing provident funds

lidefeng, deputy secretary of the Party committee of the school of finance of the Central University of Finance and economics, believes that in addition to the limited investment channels, another important reason for the poor appreciation of the precipitation funds of the housing provident fund is that the funds are too scattered and the overall planning degree is too low to achieve centralized investment. Scattered housing provident fund management centers lack both investment experience and investment ability from many interviewees in the industry. To enhance the overall planning of provident fund, on the one hand, we can strengthen the interregional adjustment of provident fund and realize the full utilization of funds; on the other hand, we can also realize centralized entrustment and centralized investment, and invest in bond market, money market and even capital market through professional institutions to seek capital appreciation and improve operation efficiency

third, adopt a double space structure, actively serve Tongling Copper based new material industrial base, improve the value-added distribution mechanism of provident fund, and feed depositors with profits

Li Yongzhuang believes that according to the existing distribution system, whether the housing provident fund earns more or less has nothing to do with the depositors. Low - and middle-income workers have become the largest "payers" of the system, which leads to a variety of illegal behaviors to obtain the housing provident fund. We should improve the distribution mechanism of accumulation fund appreciation, remove the part of value-added income after loan risk reserves and management funds, and feed back depositors in the form of raising interest rates, so that depositors can get rid of the "depreciation state" of deposited funds. Thus, it can not only increase the enthusiasm of low - and middle-income workers to pay the provident fund, but also reduce the social resistance of housing provident fund to expand investment channels

fourth, through the policy design of "limiting the high and maintaining the low", we should ensure that the institutional dividend is tilted to low - and middle-income people

Yi Chengdong, director of the Department of urban and real estate management of the Central University of Finance and economics, believes that the policy of "limiting the high while maintaining the low" should be adopted: strictly stipulate the upper limit of the payment of provident fund and supplementary provident fund, strictly stipulate that it can only be used to purchase the first home of a family, and control the loan amount of high-income groups to prevent high-income groups from occupying too much housing provident fund resources; For low - and middle-income groups, we should give certain policy guarantees, increase their loan lines, and give certain interest rate concessions, so that they can truly become beneficiaries of the system. At the same time, we can also expand the scope of benefits of the housing provident fund and increase the attractiveness of the housing provident fund through the system design of payment and withdrawal between relatives

experts pointed out that in the long run, under the framework of the reform of public institutions, we can consider returning the housing provident fund to its financial attribute, establishing a nationally coordinated policy housing bank, and using market-oriented means to improve the efficiency of the use of the housing provident fund and enhance social benefits. We can also refer to Singapore's central provident fund system to integrate the housing provident fund into the social security system. At this stage, it is urgent to change the "quasi fiscal fund" nature of the housing provident fund, so that the housing provident fund can truly become the "sweet cake" of depositors, rather than the "small treasury" of local governments, so that the use of the housing provident fund truly reflects the original intention of the system design

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