Money

China to unveil roadmap of capital regulation on banks

(Xinhua)
Updated: 2010-09-19 09:52

BEIJING - China's banking regulator will unveil the country's main framework and roadmap of capital regulation on commercial banks in due time, officials said Friday.

Officials from the China Banking Regulatory Commission (CBRC) said the international bank capital regulation reform has limited influence over domestic banks in the short term, but the influence in the long run is more substantial.

Chinese commercial banks have a comparatively high capital adequacy ratio worldwide, according to a survey made by the Basel Committee, which said China's banking industry stands in a favorable position in the reform, CBRC official said.

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As of June 2010, China's banks' capital adequacy ratio hit 11.1 percent on average, while the core capital adequacy ratio stood at 9 percent and core capital accounted for up to 80 percent of the total capital, according to the CBRC.

Also, Liu Mingkang, Chairman of the CBRC, urged the commission to go all out to completely resume financial services in mudslide-hit Zhouqu county and pay attention to the risks on loans to rebuilding of housing in quake-hit Wenchuan areas.

The CBRC spokesperson said on Sept 17 Guangdong Development Bank Shanghai Branch had been punished for some reason, but not closed down.