China Banking Regulatory Commission

China Bank China Insurance Regulatory Commission On April 10, the China Banking and Insurance Regulatory Commission issued the “Measures for the Supervision and Evaluation of Financial Services for Small and Micro Enterprises in Commercial Banks (Trial)” (Draft for Comments, hereinafter referred to as the “Measures”), which seeks public comments.

The “Measures” are applicable to the evaluation of small and micro financial supervision of Chinese-funded commercial banks (including rural commercial banks, rural cooperative banks, and rural credit cooperatives) established within China . The newly established commercial banks (except for the restructured and established rural commercial banks) in that year, the regulatory authorities may refer to these Measures to conduct a trial evaluation of the financial services of their small and micro enterprises.

According to the “Measures”, the regulatory evaluation of the supervision of small and micro financial services by commercial banks mainly covers five aspects of evaluation elements:

First, credit issuance, including “two increases and two controls” for inclusive small and micro enterprise loans, slanted credit resources, small and micro customer segmentation, and service coverage.

The second is the construction of institutional mechanisms, including comprehensive service mechanisms, risk management mechanisms, resource allocation mechanisms, accounting and assessment mechanisms, etc.

The third is the implementation of key regulatory policies, including the renewal of loans for small and micro enterprises, credit due diligence, and financial service information disclosure.

Fourth is the product and service innovation, including the use of credit information, product service mode, service efficiency improvement, credit loans and medium and long-term loan placement.

The fifth is the supervision and inspection, including the standardization of service charges and the quality of report data.

Each type of evaluation element has several indicators, and the regulatory agency scores each indicator, and divides the evaluation results into first-level, There are four evaluation levels: second, third, and fourth.

Specifically, those with an evaluation score of 90 points or more are considered as the first level; those with a score in the [75, 90) interval are considered as the second level, in which the score is ( 90, 85] The interval isTwo A, (85,80) interval is the second B, (80,75) interval is the second C; the score in the [60,75) interval is the third level, of which the score in the (75,70) interval is the third A, those in the (70, 65) interval are three B, and those in the (65, 60) interval are three C; those with scores below 60 are the fourth level.

Business How will the bank ’s small and micro-enterprise financial service regulatory evaluation results be generated? The “Measures” clarify that the use of small and micro-enterprise financial service evaluation results will be strengthened in the following ways to further play the guiding role of regulatory evaluation: One is strong> Notify a single commercial bank of the evaluation results. The second is to copy the evaluation results to the relevant organizational departments of commercial banks, discipline inspection and supervision institutions, financial institutions, state-owned assets and other relevant higher-level institutions, and the People ’s Bank and other departments . The third is the evaluation results are used as the main basis for the evaluation of the first and the most excellent, policy pilots, incentives, etc. related to the financial services of small and micro enterprises, and priority is given to selecting or recommending the evaluation results to be first-level or second-level A Commercial bank. Four is For the evaluation result is three 1. For level 4 commercial banks, the regulatory department will propose targeted improvement measures and strengthen supervision and supervision.

The Methods “pointed out that the evaluation result is level 4 For commercial banks in China, the supervisory department should interview the main person in charge, order to formulate a special rectification plan within a limited time , and follow up and urge the evaluation of its follow-up implementation. The evaluation result is four levels, or small and micro enterprises credit grant, regulatory policy Commercial banks with large points deductions in evaluation elements such as implementation and supervision and inspection should be the key inspection objects in the relevant on-site inspection projects.

Departments instructing commercial banks to carry out special rectification of financial services for small and micro enterprises, in the next year ’s evaluation of small and micro financial supervision, they should focus on the implementation of their rectification. For violations of the relevant regulations of the China Insurance Regulatory Commission, and the rectification measures are weak or the next year ’s regulatory evaluation For commercial banks that still have no obvious rectification effect, the supervisory authority may, according to Article 37 of the Law of the People ’s Republic of China on Banking Supervision and Administration, Take regulatory measures such as suspending some businesses and suspending approval to start new businesses.

According to the “Measures”, small and micro enterprises’ financial service supervision and evaluation work is based on legal persons and is linked up and down. In principle, establish a regulatory evaluation organization mechanism and conduct annual evaluations. The China Banking and Insurance Regulatory Commission will conduct regulatory evaluations on national commercial banks, and local legal person banks will be subject to the local banking and insurance regulatory bureaus to conduct regulatory evaluations. Sequentially, including six