You are here

China online finance regulator launches credit rating platform: China Daily

2017-07-01T082731Z_532007658_RC143C9A9890_RTRMADP_3_CHINA-MARKETS-IPOS.JPG
China's online finance regulator passed a resolution to jointly launch a personal credit information platform to serve online lending firms, China Daily reported on Monday.

[SHANGHAI] China's online finance regulator passed a resolution to jointly launch a personal credit information platform to serve online lending firms, China Daily reported on Monday.

The move comes after The National Internet Finance Association of China (NIFA) warned "unqualified institutions"on Friday to stop lending as Beijing steps up a crackdown on the micro-loan sector to fend off financial risks.

The Nifa will hold a 36 per cent stake in the platform, which will be jointly launched with eight third-party credit service agencies, the paper said.

The platform will primarily serve online personal lenders as well as traditional commercial banks, regulators and third-party service agencies, the paper added.

sentifi.com

Market voices on:

The platform will have registered capital of 1 billion yuan (S$204.1 million)and the Nifa will invest no more than 360 million yuan in the enterprise in the next five years.

The lack of a coherent personal credit information sharing system has led to individuals borrowing from multiple internet finance firms and fraudulent loan applications, said the paper.

REUTERS

grab

Receive $80 Grab vouchers valid for use on all Grab services except GrabHitch and GrabShuttle when you subscribe to BT All-Digital at only $0.99*/month.

Find out more at btsub.sg/promo

Powered by GET.comGetCom