On April 15, Wang Chaodi, chief inspector, director of the general office and spokesman of the China Banking and Insurance Regulatory Commission, said at a press conference of the State Council Information Office that there are some high-risk financial institutions, but this will not affect the stability of China's banking and insurance industry. Good momentum of healthy and stable development.

There are several reasons for this:

  First, from the perspective of financial aggregates, the overall financial stability is stronger.

In 1990, the total assets of China's banking and insurance industry were only about 4 trillion yuan, and now it has increased to more than 370 trillion yuan, an increase of more than 90 times.

Among them, the proportion of high-risk financial institutions in the total is very low, that is, about 1%.

  Second, in terms of the number of financial institutions, the proportion of high-risk financial institutions is also very low.

Taking small and medium-sized rural financial institutions as an example, high-risk financial institutions have dropped from around 14% at the end of 2017 to around 9%.

Moreover, high-risk financial institutions are mainly concentrated in some economically underdeveloped areas, and their size is also small, so the overall impact is not large.

  Third, the regulatory authorities have adopted a series of new measures to prevent and control risks.

China has a trust protection fund, an insurance protection fund, and deposit insurance, all of which have played a role in mutual assistance and protection in the industry, ensuring the sustainable and stable development of the banking, trust and insurance industries.

(Chi Hanyu)

Responsible editor: [Ji Xiang]