Treasury cash management interrelates with the budget implementation, monetary policies, debt management and financial market development. The relationship between the treasury cash management and the monetary policies is the most crucial and most primary one. Tax revenues are deposited in treasury account that affects monetary policy. At the same time, the treasury cash will also have an impact on the money market through fiscal expenditure and market operation. The relationship between the treasury cash management and monetary policy in developed countries has formed a relatively stable institutionalized mechanism. However, the treasury reform in developing countries faces various difficulties. It is very important to sort out the relationship between the treasury cash management and monetary policy for the reform of the national treasury system in developing countries. This paper takes China as the research object and discusses the relationship between the treasury cash management and the monetary policies. The analysis results show that the treasury cash management mainly affects the monetary policies by the stock funds, and different effects are accounting for corresponding investment methods. Investment in the fixed-term deposits in the commercial banks, due to the existence of collateral effect that it cannot lead to any equivalent increments of the liquidity in the commercial banks. Whereas investment in the monetary market may have an impact on short-term interest rates.
| Published in | Journal of Finance and Accounting (Volume 7, Issue 3) |
| DOI | 10.11648/j.jfa.20190703.13 |
| Page(s) | 88-94 |
| Creative Commons |
This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited. |
| Copyright |
Copyright © The Author(s), 2024. Published by Science Publishing Group |
Treasury Funds, Cash Management, Monetary Policies, Policy Coordination
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APA Style
Chang Tang, Qiuyan Man, Qinyuan Zhao. (2019). The Relationship Between Treasury Cash Management and Monetary Policies. Journal of Finance and Accounting, 7(3), 88-94. https://doi.org/10.11648/j.jfa.20190703.13
ACS Style
Chang Tang; Qiuyan Man; Qinyuan Zhao. The Relationship Between Treasury Cash Management and Monetary Policies. J. Finance Account. 2019, 7(3), 88-94. doi: 10.11648/j.jfa.20190703.13
AMA Style
Chang Tang, Qiuyan Man, Qinyuan Zhao. The Relationship Between Treasury Cash Management and Monetary Policies. J Finance Account. 2019;7(3):88-94. doi: 10.11648/j.jfa.20190703.13
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Download@article{10.11648/j.jfa.20190703.13,
author = {Chang Tang and Qiuyan Man and Qinyuan Zhao},
title = {The Relationship Between Treasury Cash Management and Monetary Policies},
journal = {Journal of Finance and Accounting},
volume = {7},
number = {3},
pages = {88-94},
doi = {10.11648/j.jfa.20190703.13},
url = {https://doi.org/10.11648/j.jfa.20190703.13},
eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.jfa.20190703.13},
abstract = {Treasury cash management interrelates with the budget implementation, monetary policies, debt management and financial market development. The relationship between the treasury cash management and the monetary policies is the most crucial and most primary one. Tax revenues are deposited in treasury account that affects monetary policy. At the same time, the treasury cash will also have an impact on the money market through fiscal expenditure and market operation. The relationship between the treasury cash management and monetary policy in developed countries has formed a relatively stable institutionalized mechanism. However, the treasury reform in developing countries faces various difficulties. It is very important to sort out the relationship between the treasury cash management and monetary policy for the reform of the national treasury system in developing countries. This paper takes China as the research object and discusses the relationship between the treasury cash management and the monetary policies. The analysis results show that the treasury cash management mainly affects the monetary policies by the stock funds, and different effects are accounting for corresponding investment methods. Investment in the fixed-term deposits in the commercial banks, due to the existence of collateral effect that it cannot lead to any equivalent increments of the liquidity in the commercial banks. Whereas investment in the monetary market may have an impact on short-term interest rates.},
year = {2019}
}
TY - JOUR T1 - The Relationship Between Treasury Cash Management and Monetary Policies AU - Chang Tang AU - Qiuyan Man AU - Qinyuan Zhao Y1 - 2019/06/29 PY - 2019 N1 - https://doi.org/10.11648/j.jfa.20190703.13 DO - 10.11648/j.jfa.20190703.13 T2 - Journal of Finance and Accounting JF - Journal of Finance and Accounting JO - Journal of Finance and Accounting SP - 88 EP - 94 PB - Science Publishing Group SN - 2330-7323 UR - https://doi.org/10.11648/j.jfa.20190703.13 AB - Treasury cash management interrelates with the budget implementation, monetary policies, debt management and financial market development. The relationship between the treasury cash management and the monetary policies is the most crucial and most primary one. Tax revenues are deposited in treasury account that affects monetary policy. At the same time, the treasury cash will also have an impact on the money market through fiscal expenditure and market operation. The relationship between the treasury cash management and monetary policy in developed countries has formed a relatively stable institutionalized mechanism. However, the treasury reform in developing countries faces various difficulties. It is very important to sort out the relationship between the treasury cash management and monetary policy for the reform of the national treasury system in developing countries. This paper takes China as the research object and discusses the relationship between the treasury cash management and the monetary policies. The analysis results show that the treasury cash management mainly affects the monetary policies by the stock funds, and different effects are accounting for corresponding investment methods. Investment in the fixed-term deposits in the commercial banks, due to the existence of collateral effect that it cannot lead to any equivalent increments of the liquidity in the commercial banks. Whereas investment in the monetary market may have an impact on short-term interest rates. VL - 7 IS - 3 ER -
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