Regulator to rein in risky fundraising

CBIRC to boost analysis, evaluation, supervision of financial innovation

China must pay close attention to the spreading of risks arising from cross-sector and cross-market financial innovation, tighten regulation and strengthen coordination to mitigate potential systemic risks, said an official of the China Banking and Insurance Regulatory Commission.

"Regulators should deeply analyze the essence and risk features of each financial business and clarify whether the business ought to be included in the scope of regulation, which rules it must abide by, and which type of license the business operator should apply for," said Li Wenhong, director of the banking innovation supervision department of the CBIRC, at the 2018 Annual Conference of Financial Street Forum.