Online finance the next force in shadow banking
The most important and market-moving stories from the Chinese-language media
Online financing platforms are the growing force in China’s expanding shadow banking system, the Securities Daily said. Loans made over the Internet exceeded 3 trillion yuan by the end of last month. The system is riddled with problems, with 880 platforms shut down this year, the report added.
Speculators can expect more crackdowns in 2017
Property speculators will face more crackdowns next year following measures introduced in the latter part of 2016 to cool off the overheating housing market, The People’s Daily overseas edition said in a commentary on December 24. Details of the new restrictions weren’t provided, only that they will be tailored to the needs of different areas.
November foreign exchange trading jumped 40%
Foreign exchange trading jumped 42% on month in November to 15.89 trillion yuan (US$2.32 trillion), Yicai reported. Most of the surge came from individuals trading currencies for personal purchases.
Zheshang refutes bond default fraud claim
Zheshang Property and Casualty Insurance has reportedly produced documents to reject claims it falsified papers with China Guangfa Bank related to sale of Cosun Group corporate bonds. Cosun Group defaulted on bonds worth more than 312 million yuan (US$45 million) last week.
BoCom chief risk officer under investigation
Yang Dongping, the Chief Risk Officer of the Bank of Communications, is under investigation by the Communist Party of China’s discipline commission, Caixin reported on December 25.
Yang Xiaodu named as Minister of Supervision
Yang Xiaodu, a former deputy secretary-general of the Central Committee of Discipline Inspection, was named Minister of Supervision on December 25, reported Caixin on the same day. Yang, 63, was part of the anti-corruption drive in 2014 that resulted in the “great Shanxi political earthquake” that saw seven senior officials dismissed for “discipline violations,” the report added.