Big third-party pay­ment firms, P2P lenders likely to come un­der PBOC over­sight

China Daily (Hong Kong) - - BUSINESS - By WU YIYAO in Shang­hai wuyiyao@chi­

China’s cen­tral bank said it will strengthen reg­u­la­tion of com­pa­nies en­gaged in fi­nan­cial tech­nolo­gies or fintech in a bid to pre­vent risks.

In a re­port re­leased last week­end, the Peo­ple’s Bank of China said some fi­nan­cial prod­ucts of­fered through in­ter­net chan­nels by fintech com­pa­nies are “sys­tem­i­cally im­por­tant” and hence will be in­cluded in its macro-pru­den­tial assess­ment or MPA.

The aim is to pre­vent cycli­cal risks and cross-mar­ket risk trans­mis­sion, it said.

An­a­lysts said this is the first time that the PBOC said it will in­clude fintech busi­nesses in its MPA.

Big play­ers in the third-party pay­ment ser­vices mar­ket and the peer-to-peer or P2P lend­ing mar­ket are likely to be in­cluded first, they said.

Pre­vi­ously, only big fi­nan­cial i nsti­tu­tions, such as banks, bro­ker­ages and in­sur­ers, who play lead­ing

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