Supervision fee in banking, insurance suspended from July
The Ministry of Finance will suspend the collection of a supervision fee in the bank and insurance industry from July 1 this year to the end of 2020, the Economic Information Daily reported. Fees will be sent to the national treasury by August 31.
Cross-boundary e-checks allowed for daily bill payments
An e-check service for cross-boundary settlements would be used for daily bills, the People’s Bank of China Guangzhou branch and Hong Kong Monetary Authority said in a joint statement on Tuesday, Xinhua reported. E-checks can be used to pay for bills on water, cable television and property management in Guangdong province for Hong Kong residents holding yuan accounts at nine institutions, including Bank of China Hong Kong and the Industrial and Commercial Bank of China.
Overseas index derivatives to launch in HK
Some overseas index derivatives are expected to launch on the Hong Kong market, after US index provider MSCI last week announced it would include China’s A shares, the Shanghai Securities Journal said on Wednesday. Vice Chairman Fang Xinghai, of the China Securities Regulatory Commission, said it had to sign an agreement first with Hong Kong regulators on cross-border financial derivatives.
AI steals jobs in car insurance claims
Alibaba’s fintech affiliate Ant Financial launched a product to assess damage on vehicles for insurances companies, Shanghai Securities Journal reported on Wednesday. The product using image recognition and artificial intelligence will process photos uploaded by car owners and offer repair schemes and costs in seconds.
Wholesale clothing market closed in Beijing for finance, hi-tech
The 40,000 square meter Wanrong clothing wholesale market located near Beijing Zoo was closed on Tuesday, to make way for finance and hi-tech industries, Xinhua reported. More than 2,000 stalls would be relocated to cities surrounding the capital – Tianjin, Shijiazhuang and Cangzhou.
Residential land supply in Beijing triples
The supply of residential land in Beijing stood at 2.23 million square meters for the first half of the year, three times the figure for the whole of 2016, Caixin reported. Around 100.622 billion yuan (US$16.21 billion) in land sales were recorded in the first half, a rise of 179% from 2016 and it is expected to break 200 billion yuan mark by the end of this year.
Law under review to support SMEs
The Standing Committee of the National People’s Congress is reviewing a draft revision of the Small and Medium Enterprises (SME) Promotion Law to specify regulations that will support SMEs, the Economic Information Daily reported. The draft included tax preferences, rules on raising capital and providing low-cost office space.
May industrial profits up 16.7% year on year
May profits at the country’s industrial companies increased 16.7% from a year earlier and accelerating 14% in April, the Shanghai Securities Journal reported on Wednesday. Analysts believe profits will decline in the second half of this year with a fall in factory-gate inflation.
SOEs make handsome gains in first five months
Profits at state-owned enterprises recorded 1.038 trillion yuan (US$151.92 billion) for the first five months, surging 25.5% from a year earlier. Coal, steel and non-ferrous metal SOEs, which were in the red last year, made a dramatic turnaround. Petroleum, petrochemical and transport SOEs also saw huge profit gains.