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li yunze speaks out on equity investment in financial asset investment companies! expand pilot programs, relax restrictions, and optimize assessments

2024-09-24

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editor of every economic report: bi luming

the state council information office held a press conference on the morning of september 24 to introduce the relevant situation of financial support for high-quality economic development. li yunze, director of the state financial supervision and administration bureau, answered questions from reporters.

li yunze said that the plan is to increase the core tier-one capital of six large commercial banks, which will be implemented in an orderly manner in accordance with the idea of ​​overall promotion, phased and batched, and one policy for each bank. regarding the pilot program of equity investment in financial asset investment companies, li yunze said that the next step will be to expand the scope of pilot cities, appropriately relax the restrictions on the amount and proportion of equity investment, and optimize the assessment mechanism.

li yunze, director of the state financial supervision and administration bureau. image source: guoxin.com (photo by xu xiang)

plans to increase core tier 1 capital for six large commercial banks

li yunze said that currently large commercial banks are operating and developing steadily, with stable asset quality and major regulatory indicators within a healthy range.

li yunze said that in recent years, large commercial banks have mainly relied on retaining their own profits to increase capital, but as banks have continued to increase their efforts to reduce fees and give concessions, the net interest margin has narrowed and the profit growth rate has gradually slowed down, requiring the coordination of internal and external channels to enrich capital.