Shanghai: Chinese, Foreign Banks Unite to Fight Debt Evasion

Home>>Business

Last updated at: (Beijing Time) Saturday, April 05, 2003

Shanghai: Chinese, Foreign Banks Unite to Fight Debt Evasion

About 68 Chinese and foreign banks in Shanghai signed a pact recently to join their efforts to fight against debt evaders.

DISCUSSION

CHINESE

SEND TO FRIEND

About 68 Chinese and foreign banks in Shanghai signed a pact recently to join their efforts to fight against debt evaders.

As the financial center of China, Shanghai should lay more emphasis on cooperation among banks, especially in protecting banks' rights as creditors, according to experts.

The pact passed at a banking trade conference in Shanghai makes detailed regulations on fighting against debt evasions and bad loans.

According to the pact, the banking trade union is responsible for the management of bad debts and the protection of the banks' rights as creditors. All debt evasions should be reported to the trade union, which will make decisions on them.

The pact also stipulates that every member bank should record the information of its borrowers in the loan consultation system of the People's Bank of China. The credit record of the borrowers would help other member banks to avoid the risk of unpaid debts.

According to the pact, a special department is to be set up within the banking trade union in Shanghai to ensure the implementation of its regulations.

About 46 foreign banks in Shanghai have responded favorably to the pact.

Questions?Comments? Click here

Domestic, Foreign Banks vie for Market Share in Shanghai

Chinese Health Groups Update Efforts against SARS ( 6 Messages)

HK Star Leslie Cheung Commits Suicide ( 14 Messages)

Iraq Says It Launches 37 Missiles on Coalition Troops ( 3 Messages)

China Releases US Human Rights Record in 2002 ( 6 Messages)

Seek Hegemony under the Cloak of 'Democracy': Commentary ( 27 Messages)