War on financial risks intensifies

Banking regulator vows to establish prevention and control mechanism

China will deepen its efforts to prevent and mitigate financial risks, with its banking regulator making the war on financial risks its top priority this year, officials said.

"Currently, financial risks are one of the most prominent and major type of risks in China ... The country is still facing relatively huge pressure for a possible rebound in nonperforming loans, and the inventory of shadow banking activities is still fairly large, with frequent occurrence of law and regulatory violations," said Xiao Yuanqi, chief of the prudential regulation bureau of the China Banking Regulatory Commission, at a news conference on Friday.