The Wells-China Law & Society Library is aimed at building a collection of books, periodicals, papers, special reports, and any other valuable material on Chinese legal and social development.
With the extensive use of the Internet technology, online lending business is booming in recent years. The Interim Measures on the Administration of Personal Loans (the “PL Measures”) and the Interim Measures on the Administration of Working Capital Loans (the “WCL Measures”), both promulgated in 2010, are not able to fully satisfy the new business demands and regulatory requirements generated by the technology developments. As a result, there is an urgent need for the regulators to formulate specific rules regulating the online lending business in order to promote the growth of the industry in a sound and compliance manner.On May 9, 2020 the China Banking and Insurance Regulatory Commission (the “CBIRC”) published the Interim Measures on the Administration of the Online Lending of Commercial Banks (Consultation Paper) on its website, soliciting comments from the public officially. As the Interim Measures on the Administration of the Online Lending of Commercial Banks is an important regulation to be promulgated, which, among others, is indicated in the legislative plan of the CBIRC in 2020, the release of the Consultation Paper would accelerate the promulgation and implementation thereof.
On 5 May 2020, the People’s Bank of China (“PBOC”) and the State Administration of Foreign Exchange (“SAFE”) issued the Regulations on Fund Administration for Domestic Securities and Futures Investments by Foreign Institutional Investors (“New Regulation”, as supplemented with the FAQs published by SAFE), introducing the latest round of reforms to the QFII and RQFII schemes – China’s two major inbound investment systems. The New Regulation will take effect on 6 June 2020. This article summarises the key points of the QFII and RQFII regimes, the main changes under the New Regulation, and what they mean for overseas institutions.