| Home / English Column / Business (new) / In Industry / Finance | Tools: Save | Print | E-mail | Most Read |
| Government to Improve Bank Checks |
| Adjust font size: |
An official from the China Banking Regulatory Commission (CBRC) said it will set up a banking supervision department the fourth supervision department that will specifically monitor this area of banking. "The department will be specifically set up to supervise 'policy-oriented banks' and the postal saving sectors," an official with the CBRC, requiring anonymity, told China Daily. Policy-orientated banks were specifically set up to help carry out government policies and schemes. The fourth banking supervision department will be separated from the third department, which currently supervises foreign banks. Currently, the CBRC's first supervision department supervises State-owned commercial banks and asset management companies. Its second department supervises joint-stock commercial banks, city banks and city credit cooperatives. "Facilities for the new department are almost ready, but personnel are still being recruited," the CBRC official said. Deng Hongguo, a deputy director of the third department, could become the director of the new department. Policy-oriented banks include the China Development Bank, the Export-Import Bank of Cai Esheng, vice-chairman of CBRC, announced recently that the body would conduct tougher supervision of policy-oriented banks and postal savings. "The CBRC will pay special attention to risky business areas in policy-oriented banks and postal savings," Cai said. "Those financial institutions are especially important to the development of the country's rural areas." The new department is needed now more than ever as Xie Ping, general manager of the Central Huijin Investment Corporation, which holds controlling shares in three of China's "big four" State-owned commercial banks, was quoted as saying on Thursday that a decision has already been made on the matter. China Post began a postal savings services in 1986 with the establishment of the China Post Savings and Remittance Bureau (CPSRB). By the end of 2005, the CPSRB had a deposit balance of 1.3 trillion yuan (US$160 billion), making it the fifth biggest savings institution after the "big four" State-owned commercial banks. The CPSRB takes deposits from the public, but can only lend to the central bank, which has been its major source of profits as revenue from traditional services have dwindled. Efforts to set up a postal savings bank have been going on since 1997, when it was first proposed by the central bank. The State Council finally approved the establishment of the bank in July 2005 when it decided that China Post should be split into three parts: a post regulatory body, a postal service company and a postal savings bank. (
|
| Tools: Save | Print | E-mail | Most Read |
 |
| Related Stories |
| ? |
