Nov
30
China’s Lending Crackdown Is Notable for Three Reasons
ByThe platforms have mushroomed from fewer than 10 to more than 2,000, but only a few hundred operate with government-issued permits.
Policy makers from the People’s Bank of China and the China Banking Regulatory Commission convened in Beijing on Nov. 23 to discuss new measures to crackdown on online consumer loan platforms, including those for payday loans and peer-to-peer lending. On the same day, Alibaba Group affiliate Ant Financial said it will enforce a cap of 24 percent on interest rates charged by lenders on its website, or 12 percentage points lower than current rates. The lenders affected by the new cap include Qudian, which had recently listed on the New York Stock Exchange…
China’s Lending Crackdown Is Notable for Three Reasons
