BEIJING: Chinese Premier Li Qiang signed a State Council decree to unveil rules on the supervision and administration of non-bank payment institutions, which will take effect on May 1, 2024.
The rules are meant to promote the law-based supervision and administration of such institutions and their business operations, facilitate the sound and healthy development of the sector, protect customers’ legal rights and interests, and help the institutions better serve the real economy and meet the need of customers for diversified payment methods.
The new rules have clarified the definition of non-bank payment institutions and their establishment requirements and improved payment-related rules.
In order to protect the legal rights and interests of payment users, such institutions should establish effective due diligence systems and enhance risk management, according to the rules. The institutions should also ensure the security of payment accounts and guard against illicit fundraising, telecom fraud, money laundering, gambling and other criminal activities, the rules noted.
The rules define the supervisory and administrative duties and measures of the People’s Bank of China, the country’s central bank, as well as outline its risk management methods, and asked local governments to cooperate with the central bank in managing risks.
Earlier, Premier Li Qiang has called for taking solid steps to promote people-centered new urbanization so as to provide a strong impetus for economic development and improved livelihoods.
Li made the remarks during a fact-finding trip to Sichuan province and Chongqing from Wednesday to Friday.
The premier’s inspection tour came following the just-concluded Central Economic Work Conference, which called for promoting the development of new urbanization with county-level cities as main carriers, and forming a new pattern of integrated urban-rural development.
China launched its new urbanization plan in 2014 with an aim to boost ecological progress, enhance urbanization quality, expand domestic demand and promote rural-urban coordination.
Last year, the National Development and Reform Commission, the nation’s top economic planner, unveiled major tasks promoting new urbanization and integrated urban-rural development, vowing to deepen reform of the household registration system and help migrant workers better integrate into cities. –The Daily Mail-China Daily news exchange item
