Research On The Measurement Of The Degree And The Improvement Of Financial Coordination Of Beijing-Tianjin-Hebei Region

At present, China’s economy is in a critical period of transition to a new normal state, only innovation can make the economy continue to develop. As one of the engines of China’s economic development and innovation center of science and technology, innovation and development of Beijing, Tianjin and Hebei region is the guarantee of sustained economic growth in China. The idea of regional coordinated development provides a new opportunity for the development of regional innovation, and the development of regional innovation provides an effective way to realize the regional coordinated development. Beijing-Tianjin-Hebei region coordinated development has been an important national strategy. After the publication of relevant documents, to promote the development of the region’s coordination degree should focus on how to implement the specific policies. Each work cannot be carried out without the need for financial funds; a sound financial coordinated development system is in need. Recently, the size of the financial sector of Beijing-Tianjin-Hebei region continues to grow, but from the perspective of financial coordination, there still exists many problems. How to solve these problems has important practical value. This paper aims to study the coordination development degree of Beijing-Tianjin-Hebei region and propose reasonable solutions for promotion.In this paper, the content of regional financial coordination development is based on the current situation, recognizing the difference, within the market economy system, rational division of labor and resource, giving full attention to the comparative advantage and achieving dislocation development. Harmonization of financial policy and financial operations, to form the positive cycle of the orderly flow of inter-regional financial elements, rational distribution of income, moderate the development gap. An integrated regional financial market which can bear greater risk of volatility is to be constructed to achieve the goal of narrowing regional difference and optimization financial industry structure. For the research of the degree of regional financial cooperation, this paper uses the savings investment correlation coefficient to measure. By calculating the regional loan rate and deposit rate correlation, if the coefficient tends to be 0, indicating that the regional financial coordination development degree is high, on the contrary, if the coefficient tends to 1, showing the regional financial coordination development degree is low.This paper studies the present situation of financial industry of the subject region. The F-H model is applied to analyze the panel data of Beijing, Tianjin and Hebei region from 2004 to 2013. The unconditional savings-investment correlation coefficient is 0.47. After getting rid of the influent factors of regional governments, the conditional savings-investment correlation coefficient becomes 0.43. Based on this, continuing getting rid of the economic fluctuation factor, the conditional savings-investment correlation coefficient becomes 0.36, which means that the degree of financial integration of the three provinces does indeed influenced by the factors of local governments and economic fluctuations. Due to this, this paper explores the factors that restricting Beijing-Tianjin-Hebei region financial integration development. Mainly from the following aspects: administrative barriers lead to financial market segmentation; regional financial development is extremely uneven; regional financial function orientation is not clear; the infrastructure such as settlement channels is falling behind and the financial industry talents are in great shortage. Besides, the Yangtze River Delta region is currently the most developed economy with higher financial integration degree and international influence of our country. It is expected to enlighten the financial integration development of Beijing, Tianjin and Hebei region through learning the successful experience of Yangtze River Delta regional. Finally, this paper suggests five aspects practical proposal to promote the financial integration development of Beijing-Tianjin-Hebei region. Those are the transformation of government financial supervision mode; building the multilayer market system; improving the efficiency of financial organizations; regional financial infrastructure construction and financial ecological construction respectively.