Financial institutions will not bail out distressed firms: Officials

Updated 2017-09-15 15:01:42

Chinese financial institutions will return to their basic function to serve the real economy but will not use it as an excuse bail out businesses facing financial trouble, said senior officials at the Financial Street Forum 2017 in Beijing on Friday.

Liu Guoqiang, assistant governor of the People's Bank of China, the central bank, said: "Financial institutions must reduce funding for zombie companies, combat speculation in real estate and lower hidden local government debts to save more financial resources for other parts of the real economy, which meet the requirements of China's supply-side reform."

Wang Zhaoxing, vice-chairman of the China Banking Regulatory Commission, agreed with Liu by saying that banking regulators will continue to effectively prevent and control debt risks in the industries with excess capacity, the real estate sector and local government financing vehicles to maintain financial stability.

Also in the News

Nicole Kidman Recalls Oscar Glory: Loneliest Time
Showbiz2016/06/16 13:58October 18 2018 01:56:48

Nicole Kidman Recalls Oscar Glory: Loneliest Time

Attending Shanghai International Film Festival, Nicole Kidman talks about her role in "Grace of Monaco".

Labor Day Travel Peak Starts
Also in the News2014/05/01 12:16October 18 2018 01:56:48

Labor Day Travel Peak Starts

Johnny Depp Delivers a Speech 'Evolve the Future' in 'Transcendence'
Also in the News2014/04/18 13:18October 18 2018 01:56:48

Johnny Depp Delivers a Speech 'Evolve the Future' in 'Transcendence'

Hollywood star Johnny Depp's speech in the upcoming new film "Transcendence" has been disclosed on Friday, April 11th.

China World Business Sports Showbiz Audio
C4 My Chinese Life The Sound Stage China Revealed Showbiz Video Travel Video
China World Fun Travel Entertainment Sports
Beijing Shanghai Guangzhou
Live Music Opera & Classical Movies Traditional Shows Exhibitions
Learn Chinese:
Chinese Studio Living Chinese Everyday Chinese Just For Fun Chinese Culture Buzzwords