China plans rules for SIBs to curb risks

Increased supervision of large banks will help ensure financial stability

China is planning to impose special regulations for a group of systemically important banks (SIBs) to curb financial risks and management failures, according to financial regulators.

The regulators have indicated that about 20 large lenders, out of the 30 on a waiting list, are likely to be approved as systemically important banks by the Financial Stability and Development Committee under the State Council.