BEIJING (Reuters) - China’s banking regulator on Wednesday published a notice ordering lending institutions to effectively identify and control risks, the latest in a series of moves by the government to shore-up supervision of its financial system.
The China Banking Regulatory Commission (CBRC) document, published on its official website, called on regulatory departments to strengthen oversight and beef-up their inspections to address regulatory shortcomings.
Banks were told to standardize their information disclosure on financial products sold to the public and private placements.
In recent months, financial regulators have issued more than two dozen notices aimed at controlling risk stemming from the generation of loans and the accounting of collateral, to the issuance and accounting of more complicated financial products.
China’s leaders have stressed the government is moving this year to address risks in the country’s financial system.
Earlier this month, CBRC told the country’s banks to conduct “self-inspections” of their use of wealth management products and in other areas where loopholes may have been used to circumvent rules.
This week, the banking regulator also issued guidelines on risk controls for lenders, focusing on loans overdue for 90 days or more, and strengthening liquidity risk management.
Reporting By Matthew Miller; Editing by Sam Holmes