China Digest

Economics and policy from China’s newspapers

Wednesday May 17, 2017

Agreement struck on HK-mainland ‘Bond Connect’

The People’s Bank of China and the Hong Kong Monetary Authority (HKMA) have agreed to set up links between the city and mainland bond markets similar to the stock connect schemes with Shanghai and Shenzhen, Caixin reported. The “northward link” allowing overseas investors to buy mainland bonds through Hong Kong will be set up first.

Shanghai, Shenzhen stock exchanges’ plans take effect on July 1

The Shanghai and Shenzhen stock exchanges issued investment management plans on May 16 unifying requirements for investors with the China Securities Regulatory Commission and raised barriers in the bond market. The plan will take effect on July 1.

No need to worry, it’s business as usual, says Agbank

Agricultural Bank of China said on Tuesday evening that business operations were normal after the China Banking Regulatory Commission’s routine on-site inspection sparked speculation, Yicai reported.

Sustainable path required to cut coal dependency: NEA boss

The country “cannot simply reduce” its reliance on coal, but must find a sustainable path to fulfil its development needs, said Li Zhi, the head of the National Energy Administration, in the Paper on Monday evening.

Tougher rules on non-locals buying homes in Chengde city

Non-local residents of Chengde city, Hebei province, should provide no less than one year’s social security proof or tax certificates to purchase property and will not be allowed to sell their new homes for two years after receiving a property certificate, the Paper reported.

State oil firms invest US$50 billion into Obor joint projects

State-owned oil enterprises announced US$50 billion worth of investments in countries involved in the Belt and Road initiative. Petrochina will focus on gas, while Sinopec is seeking cooperation with Russia, Mideast and Southeast Asian nations.

CBRC plans to regulate online lending

The China Banking Regulatory Commission plans to set up new laws to regulate the peer-to-peer online lending industry, including management of deposits, small loans and information disclosure.

New Third Board queries 44 firms’ 2016 financial reports

The country’s over-the-counter trading board, better known as the New Third Board, issued notices to 44 companies questioning details of their 2016 financial reports, the Economic Information Daily reported.

Support for robotics industry to be announced

A slew of guidelines to support the robotics industry will be announced in the near future, the state-owned Economic Information Daily reported on Wednesday, a day after the opening of the fourth edition of the China Robot Summit. Two billion yuan (US$290 million) in funds was already in place, it said.

Aviation administration to regulate drones

Any unmanned aerial vehicles (UAV) above 250 grams must be registered from June 1 to ensure the safety of passenger flights, the Civil Aviation Administration of China (CAAC) said in a Sina Finance report.

Tangshan will support set up of 1,000 SMEs by year-end

Hebei province’s steel city Tangshan will nurture the development of enterprises and support the establishment of 1,000 SMEs by the end of this year after slashing production capacity by 52% in 2016, the Paper reported.