China'S First Private Lending Regulation Passed

< p > < strong > < a > href= > http://www.91se91.com/ > interest rate < /a > determined by negotiation between the two parties, cancel the upper limit < /strong > /p >

< p > yesterday morning, after less than half an hour after the vote was passed, the reporter received Zhou Dewen's short message.

"I am particularly happy today," he wrote in a short message. "Regulations" are the ice breaking work of standardization, sunshine and legalization of private lending. It is of great practical significance to save SMEs in crisis and can greatly alleviate the financing difficulties of SMEs.

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< p > in the interview, Zhou Dewen interpreted some provisions in the Ordinance to reporters.

For example, in the original draft of the bill, the interest rate limit of 48% was set at a loan with a term of more than 1 months, and in this passed regulation, this article gave a relatively vague statement: "the interest rate of private lending is determined by negotiation between the two sides of the loan, but it must not violate the provisions of the state on limiting interest rates."

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< p > Zhou Dewen said that after seeking the opinions of the relevant ministries and commissions of the central government, this decision decided to cancel the ceiling, because the central government stipulates that the interest rate of private lending should not exceed 4 times the benchmark interest rate, and the upper limit of 48% may be in conflict with the principle of 4 times interest rate.

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< p > < strong > collect < a href= "http://www.91se91.com/ > > fund < /a > upper limit, avoid the risk of" run away "of the boss < /strong > /p >

< p > as we all know, a year ago, there was an incident of bosses running in batches in Wenzhou. The reason is that debts are too large to make ends meet. "Borrowing too much money is far more than its own assets. Finally, there is no way to choose" run "to avoid debt.

Zhou Dewen said another reason is that private lending has "no effective supervision and management".

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< p > for this purpose, there are two such articles in the passed regulations: "the total amount of funds raised by the directional collects fund managers shall not exceed eight times of their net assets, and shall be trusteeship by the financial institutions with the conditions prescribed by the state of Wenzhou Municipality."

"Directional collection funds should be used for production and operation projects identified at the time of recruitment.

The project's idle funds agreed by qualified investors holding more than 2/3 of the capital share can be used for short-term private lending in the Wenzhou area without more than six months, but the amount can not exceed thirty percent of the total amount of the directional aggregate fund.

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< p > Zhou Dewen analysis, these two are the restrictions on their management funds, and entrust financial institutions to strengthen supervision, supervise the inflow and outflow of funds, ensure the standardization of capital operation, and avoid the risk of "running away" because of excessive debts.

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< p > in addition, in order to strengthen risk control, the regulations also put forward the system of reporting private loans.

The borrower shall, within fifteen days from the date of signing the contract, file the record with the local financial management department or his entrusted organization for the purpose of stipulate that "the loan amount is more than 3 million yuan or more" and "borrow money from a specific object above thirty persons".

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< p > < strong > civil servants and < a href= "http://www.91se91.com/ > > Finance < /a > practitioners shall not participate in private financing < /strong > /p >

< p > "Regulations" also clearly stipulates that local financial management departments and non-governmental financing industry service staff shall not take advantage of their duties to facilitate participation in private financing activities.

For this, many grassroots business owners applaud.

Mr. Chen, a boss of Wenzhou small and micro enterprises, told reporters: "with this, we are not afraid that some officials or financial institution executives will make profits through the paction of money rights."

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Zhou Dewen also expressed his approval for Mr. Chen's ideas. He said that this is to prevent related rent-seeking in P.

Because civil servants and financial practitioners have certain resources, "if they are allowed to enter the private lending market, they will be able to cash in on the law, which is unfair."

According to Zhou Dewen, there has been such a phenomenon, so we must legislate against it.

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< p > < strong > background > /strong > /p >

< p > < strong > private financing in Wenzhou is near "Crazy" < /strong > < /p >.

< p > Zhejiang is a large private economy province, while Wenzhou is one of the most active areas in the whole province's private economy.

According to the data reported by the former media, although Wenzhou's GDP accounts for less than 1% of the total, it has more than 40 enterprises, and these enterprises are highly dependent on private financing.

Especially in recent years, due to tight money, housing companies are short of money, coupled with the continued downturn in industry, more and more enterprises that are short of money have turned their attention to private lending.

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Less than P, such a huge demand for private lending has not been effectively regulated by the sun.

A private lending research report released by a research institute said that the total amount of private loans outstanding in Wenzhou could be as high as 800 billion yuan to 1 trillion yuan.

For such a situation, it is said that private lending in Wenzhou has reached a "crazy level". As long as a link goes wrong, it is likely to lead to the "Domino" effect. Finally, it will be the real economy.

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< p > according to Zhou Dewen's latest Wenzhou capital investment scale, about 1 trillion and 500 billion yuan is invested in fixed assets and 800 billion to 1 trillion yuan in liquid assets.

Zhou Dewen said that such a scale, local banks may not be able to achieve, "there are a lot of hot money, but the direction of investment is very chaotic, mainly that there is no regulation and regulation of policies and regulations."

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< p > < strong > meaning < /strong > < /p >

< p > < strong > private lending bid farewell to "unable to rely on" < /strong > /p >

< p > regulating private financing is the primary task of Wenzhou's financial reform.

The regulations passed yesterday voted for the first time to provide legal provisions for private financing and supervision and management in the administrative area of Wenzhou, and to break through and design the behavior of natural persons, non-financial enterprises and other organizations through the financing of private lending, directional bond financing or directional collection of funds.

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< p > experts believe that as the first local regulation to regulate private financing in China, the introduction of the regulations will change the status quo of private financing in Wenzhou without special laws.

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Li Youxing, Professor of Guanghua Law School of Zhejiang University who participated in the drafting of the regulations, said that the regulations clearly defined the legal scope and operation process of private financing, and established a relatively perfect system of private financing service system, so that enterprises, especially small and micro enterprises, would be more convenient to finance and protect the interests of investors at the same time. P

The regulations also establish the legal status of local financial management departments, which is conducive to the supervision of private financial operations.

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< p > < strong > SMEs will get new financing channels < /strong > /p >

< p > Zhejiang has a large number of small and medium-sized enterprises, and financing difficulties have always been a "pain in pain" for the development of enterprises.

Because of risks and other problems, banks rarely lend money to them.

A small and micro enterprise owner told reporters in an interview: "the bottleneck of enterprise development is financing too difficult, banks can not borrow here, private loans are not standardized."

However, after the promulgation of the regulations, the problem of "less money" will be alleviated to a certain extent.

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< p > "private financing" referred to in the Ordinance, in addition to private loans usually considered by people, also includes monetary financing activities such as "directional bond financing" and "directional collection fund".

Zhou Dewen explained that in this way, it provided new channels for the financing of small and micro enterprises. They could conduct directional bond financing and collect directional collection funds according to production and operation needs.

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< p > of course, there are relative restrictions on financing. The regulations stipulate that enterprises can conduct directional bond financing to qualified investors in a non-public way because of their production and operation needs. After the financing, the assets and liabilities ratio of enterprises should not exceed 70%.

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