CCTV News: According to the website of the State Administration of Financial Management, in order to thoroughly implement the spirit of the Central Financial Work Conference, strengthen supervision and management of micro-loan companies, and promote the stable operation and standardized development of the industry, the State Administration of Financial Regulation recently formulated and issued the "Interim Measures for Supervision and Administration of Micro-loan Companies" (hereinafter referred to as the "Measures") based on extensive soliciting opinions.

The Measures have 7 chapters and 60 articles, including general provisions, business operations, corporate governance and risk management, consumer rights protection, exit of abnormal business enterprises, supervision and management, appendixes, etc. First, standardize the business behavior of micro-loan companies. Clarify the business scope and loan concentration ratio requirements of micro-loan companies, optimize the upper limit standards for single-family loan balances, highlight the small and scattered business positioning; strictly prohibit illegal "channel" businesses such as leasing and lent licenses; standardize external financing, strictly enforce the "1+4" financing leverage multiple indicators, and clarify the conditions for micro-loan companies to issue bonds and asset securitization products. The second is to strengthen corporate governance and risk management. Refine the requirements for related transaction management, clarify the standards for the division of non-performing loans, and implement special account management for the loan funds of micro-loan companies. Standardizing the business system of online microfinance companies should meet the conditions such as the full process of online operation, a sound risk prevention and control system, and comply with network and information security management requirements. Microfinance companies are required to implement the list system and other management of cooperative institutions. The third is to refine the protection of consumer rights. Standardize the information disclosure, risk warning, marketing and publicity, customer information collection and use, etc. of micro-loan companies, and strengthen the supervision of negative lists of illegal and improper business behaviors. Fourth, further clarify the regulatory responsibilities of local financial management institutions, strengthen the sharing of regulatory information between the central and local governments and work coordination, and jointly guide the standardized and healthy development of the industry.

The promulgation of the Measures will help improve the regulatory system of microfinance companies, guide the industry to improve the level of risk management and compliance operations, and consolidate the foundation for sustainable development. The State Administration for Financial Regulation will guide and link local financial management institutions to do a good job in implementing the Measures, further promote the micro-loan company industry to improve the quality and efficiency of services, give full play to its own advantages, practice the concept of inclusive finance, and better meet the financing needs of small and micro enterprises, individual industrial and commercial households, farmers and individual consumers.