China News Service, October 25th. The website of the Shenzhen Local Financial Supervision and Administration Bureau issued the "Notice on Prohibiting the Conduct of Businesses Involving Hidden Debts of Local Governments" (hereinafter referred to as the "Notice") on the 25th, proposing that all financial leasing companies should strictly abide by the The Interim Measures for the Supervision and Administration of Financial Leasing Companies (Yinbaojianfa [2020] No. 22) and relevant laws and regulations on the management of local government hidden debts shall not carry out business involving new local government hidden debts.

  The "Notice" proposes to comprehensively investigate the business involving the hidden debt stock of local governments.

All financial leasing companies shall earnestly perform their main responsibility for risk management, comprehensively carry out self-examination of businesses involving hidden local government debts, and thoroughly understand the stock of relevant businesses and their risks.

Once the existence of relevant existing businesses is found, a disposal plan should be quickly formulated, the repayment date, repayment amount and source of debt repayment funds should be specified one by one, risks should be resolved in a safe and orderly manner, and reports should be reported to the regulatory authorities in a timely manner.

  In the next step, the local financial supervision department in Shenzhen will continue to strengthen supervision, resolutely curb the increase of hidden debts, and adopt random inspections to check the implementation of various financial leasing companies, and to ensure that the new hidden debts are " Discover together, investigate together, and hold accountable together.”

(Zhongxin Finance)