Date
15 December 2017
Private credit investigation firms will complement China's existing credit reference system, the central bank says. Photo: Bloomberg
Private credit investigation firms will complement China's existing credit reference system, the central bank says. Photo: Bloomberg

PBoC allows private firms to provide credit information services

The People’s Bank of China (PBoC) has given the go-ahead to eight private companies to establish personal credit information units to complement the existing credit reference system, Shanghai Daily reported.

Among the eight companies are a Tencent affiliate, Tencent Credit Investigation Co., and Alibaba’s small finance unit Sesame Credit Management Co., according to the report.

China Chengxin Credit Information Co., Intelli Credit Co., and third-party payment firm Lakala Technology Co. are also said to be on the list.

The firms were given a six-month period to prepare for the launch of their business, the report said, citing a central bank statement.

Setting up private credit investigation companies is a key step to realize the central government’s blueprint to establish an overall credit reference system in addition to central bank’s existing system, the PBoC was quoted as saying.

It is also aimed at setting up a credit reference market where market-driven organizations play their parts and at the same time cooperate with each other.

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RC

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