Encouraging progress is made in the pilots of new type of rural financial institutions

A conversation was held in Harbin a few days ago on the pilots of new types of rural financial institutions. The Deputy Chairman of CBRC stressed that a three-year plan should be made systematically to improve these pilots and strengthen their risk management. There are five measures for the CBRC to promote the new rural financial organizations: 1) to set up many new organizations (refer to graph below); 2) to create a comprehensive regulation system; 3) to develop a distribution map for pilot locations; 4) to build three communication networks between the regulation department (CBRC) and local government; and 5) for all the related departments to make monetary policy accordingly and reach agreement on fiscal policy.

(Translator’s Note: The CBRC report says 5 MCCs officially open “开业”, others mentioned in the above PFC news summaries are understood to be just pilots in the first or second rounds of approval, or are currently being setting up.)