Mr. Guan mentioned two conflicts, between production and credit, and between credit and rating. He then briefly introduced the cause of these conflicts and emphasized the nature of the conflict between credit and rating: liabilities for the debtors cannot be beyond their capacity. Taking the crisis of 2008 as an example, he pointed out that incorrect rating caused by incorrect credit relationship is the cause of the crisis, and through the so-called quantitative easing monetary policy of printing money to expand credit solutions will only increase the possibility of crisis.
Then, Mr. Guan called for bringing the credit rating into the world economic governance system, and mentioned that in the era of big data, national rating system and international rating system should be established in order to balance the information symmetry between the rating and the rated. Now the demands for international capital flow are very large, such as "The Belt and Road", and the key to the success is the transnational flow rating information. However, the possession of international credit resources has led to the imbalance in the development of the world economy. Particularly, the western rating method is incomplete. It is based on the degree of national political system, per capita GDP, economic and financial markets as well as by borrowing the new to return the old debt, such kind of elements central do not have direct connection with government debt repayment, which is actually wrong. As a result, a lot of creditors havelower ratings than the debtors.
Finally, he pointed out that we should establish a new international rating system to measure the safety of liability, and his credit lab is developing new tools to make rating a facor to complete inverse cycle, and the result will be available soon.