21 August 2019

CBRC drafts guidelines for private bank trial, paper says

Shang Fulin {尚福林}, chairman of the China Banking Regulatory Commission (CBRC), said on Monday that the regulator has decided on guidelines for private-bank trial scheme after inputs from the public, People’s Daily reported Tuesday. Under the guidelines that have been approved by the State Council, there will be a system for banks with regard to risk-taking. Shareholders must have excellent qualifications and the ability to control risks. Also, banks selected for the trial must be under clear supervision rules, have individual market positioning and specific strategies. The institutions must have at least two founders, the report said, adding that the regulator will begin to review applicants’ qualifications in the next step. Alibaba Group Holding Ltd., Tencent Holdings Ltd. (00700.HK), Wan Xiang Group, Juneyao Group and Fosun Group are among those that are said to have joined the trial scheme.

– Contact HKEJ at [email protected]



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