China's central bank emphasizes supply chain finance development

XI'AN, June 1 (Xinhua) -- China will promote the standardized  development of supply chain finance, effectively broaden the financing  channels for micro, small and medium-sized enterprises and ensure more  funds flow to the real economy, according to the central bank.

Wang Xin, head of the research bureau at the People's Bank of China,  said the country still faces some difficulties in developing supply  chain finance.

Information sharing is yet to be realized among financial  institutions, major enterprises, government departments and third-party  institutions, the standardization and transparency of accounts  receivable financing need to be further improved and risks of fraudulent transactions still exist, Wang said at the just-concluded China Finance 40 Qujiang Forum.

In the next step, efforts should be made to improve the supply chain  billing platform, establish a credit mechanism and prevent risks of  supply chain finance, he said.

Chinese authorities issued a guideline in September last year,  putting forward a slew of policy requirements and measures to regulate  the development and innovation of supply chain finance, construct the  supporting infrastructure, improve the policy supporting system, and  prevent risks. Enditem