e-magazine
The Hot Zone
China's newly announced air defense identification zone over the East China Sea aims to shore up national security
Current Issue
· Table of Contents
· Editor's Desk
· Previous Issues
· Subscribe to Mag
Subscribe Now >>
Expert's View
World
Nation
Business
Finance
Market Watch
Legal-Ease
North American Report
Forum
Government Documents
Expat's Eye
Health
Science/Technology
Lifestyle
Books
Movies
Backgrounders
Special
Photo Gallery
Blogs
Reader's Service
Learning with
'Beijing Review'
E-mail us
RSS Feeds
PDF Edition
Web-magazine
Reader's Letters
Make Beijing Review your homepage
Hot Links

cheap eyeglasses
Market Avenue
eBeijing

Latest News
Special> NPC & CPPCC Sessions 2012> Latest News
UPDATED: March 14, 2012
Premier Wen Says to Allow Private Capital
Into Financial Sector
Share

Chinese Premier Wen Jiabao said Wednesday that the government should allow private capital to enter the financial sector and make the process "standardized and open".

China's financial authorities are actively considering taking private financing activities in east city of Wenzhou as one of the pilots for an overall reform in this field, Wen told a press conference after the conclusion of the annual parliamentary session.

"We need to encourage their development, and at the same time put them under strict oversight and supervision," said Wen when commenting on the case of Wu Ying, a businesswoman who was once listed among the country's richest women and faced death penalty for cheating investors out of several hundred million yuan.

The 31-year-old former owner of the Zhejiang-based Bense Holding Group was convicted for illegally pooling 770 million yuan ($123 million) from private creditors between 2005 and 2007 to fund her own businesses.

"The Supreme People's Court is taking a cautious attitude toward the Wu Ying case," said Wen. The case caused nationwide debate as many small entrepreneurs, unable to get loans from banks, have turned to the underground market to finance their business expansion plans.

"The case must be handled on the basis of real facts," said Wen, who thought the case shows that private finance cannot meet the requirement of economic and social development in China.

Chinese companies, particularly small and micro ones, need access to funds, but the banks are not able to meet those companies' need and there is a large amount of idle capitals, he said.

Wen called for a thorough study on the issue that help provide clearly defined legal safeguards for private lending.

(Xinhua News Agency March 14, 2012)



 
Top Story
-Protecting Ocean Rights
-Partners in Defense
-Fighting HIV+'s Stigma
-HIV: Privacy VS. Protection
-Setting the Tone
Most Popular
 
About BEIJINGREVIEW | About beijingreview.com | Rss Feeds | Contact us | Advertising | Subscribe & Service | Make Beijing Review your homepage
Copyright Beijing Review All right reserved