Region:
Asia
Category:
Economy

Private banks start operating experimentally in China

Region:
Asia
Category:
Economy
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China will establish five private banks experimentally to make the banking system more attractive for both local and foreign investors

The chairman of the Regulatory Commission of China Banking, Shang Fulin said that will allow the installation of the top five private banks in several cities on a trial before the practice extend to the whole country.

Shang presented plans on these tests of the banking sector at a press conference of the National People's Congress in Beijing, but did not specify the time. He explained that it depends on whether banks comply with the requirements of the commission.

The chairman of the Banking Regulatory Commission of China, said that they will focused on a joint foundation to test private banks. That is, each bank will have to be associated by at least two companies. Private capital we have chosen only when part of the preparatory process. Carefully examine each of the testbeds and approve one by one.

China's intention is to establish five private banks experimentally to make the banking system more attractive for both local and foreigners investors.

The top five private banks will be established in the municipalities of Tianjin and Shanghai and the provinces of Zhejiang and Guangdong, explained Shang Fulin, as part of the annual session of the National People's Congress.

Ten private companies, including Internet companies Alibaba and Tencent, have been chosen to participate as Shang.

traslation: Belén Zapata