Central bank unit, HK to set up joint venture on bond connect
The China Foreign Exchange Trading System (CFETS) would hold a 60% stake in a joint venture firm to be set up with Hong Kong Exchanges and Clearing, the Paper reported. The firm would allow foreign investors to buy bonds on the mainland via the international trading system. The CFETS is the interbank and foreign exchange division of the People’s Bank of China.
Net financing volume of interbank deposits slump
Net financing volume of interbank deposits among commercial banks slumped to minus-330.4 billion yuan (US$48.6 billion) in May, the lowest since December 2013, reported Yicai. Net financing volume of interbank deposits at all banks stood at 425.5 billion yuan in March and declined to 115.7 billion yuan in April after the China Banking Regulatory Commission issued deleveraging plans.
Wang Jianlin’s giant buys Yunnan land to build ‘Wanda City’
Wanda Group bought 926,600 square meters of commercial and residential land across 24 sites in Xishan district, Kunming city, with the smallest parcel costing 7.477 billion yuan, Caixin reported on Wednesday night. Founder Wang Jianlin plans to invest 30 billion yuan to build Wanda City, including cinemas, water parks, shopping centers, hotels and tourist hubs.
Fosun’s medical equipment unit to list in Hong Kong
Shanghai Fosun’s non-wholly owned subsidiary Sisram Medical, plans to list on the Hong Kong stock exchange, Caixin reported. An investor said the listing in Hong Kong instead of in the US may signal Fosun’s intention to integrate its medical equipment business with the Israeli firm.
Steam coal price declines for 10 straight trading periods
The Economic Information Daily reported that as of June 6 the steam coal price declined to 562 yuan (US$82.7) per ton. Steam coal prices have declined for 10 consecutive trading periods.
US$41.65 billion in administrative charges on firms axed
Companies in the construction, energy, banking and insurance industry are expected to enjoy further reductions on 283 billion yuan worth of administrative charges, as the State Council rolled out new fee reduction measures, Shanghai Securities Journal said. Earlier this year, 718 billion yuan in taxes and fees were cut.
New income tax break for small businesses
The taxable income of small businesses has risen from 300,000 yuan to 500,000 yuan, the Finance Ministry said on its website on Wednesday. For small businesses whose taxable income is lower than 500,000 yuan, only half of its income will be taxed and the rate capped at 20%. The new policy takes immediate effect and expires at the end of 2019.
Newcomer joins Xi’s cyber security cabinet
China Telecom President Yang Xiaowei has been appointed deputy director of the Central Leading Group for Internet Security and Informatization, the policy-making body set up under the Central Committee of the Communist Party of China to tackle cyber issues, Sina Finance reported.
Consultation paper on self-driving cars out soon
Authorities propose 95 standards on products, technology application and general rules for self-driving vehicles in a public consultation paper to be released soon, the Paper reported. The aim is to establish standards to support development of self-driving vehicles before 2025.