Decision of the China Banking Regulatory Commission on the Revision of Guidelines for Commercial Banks on the Management of Risks Associated with the Granting of Credit to Group Customers

Decision of the China Banking Regulatory Commission on the Revision of Guidelines for Commercial Banks on the Management of Risks Associated with the Granting of Credit to Group Customers

Order of the China Banking Regulatory Commission [2010] No.4

June 4, 2010

The Decision of the China Banking Regulatory Commission on the Revision of Guidelines for Commercial Banks on the Management of Risks Associated with the Granting of Credit to Group Customers (hereinafter referred to as the "Decision") that was adopted at the 98th Chairman's meeting of the China Banking Regulatory Commission on June 1, 2010 is hereby issued for implementation as of the date of issue hereof.

Chairman Liu Mingkang

Decision of the China Banking Regulatory Commission on the Revision of Guidelines for Commercial Banks on the Management of Risks Associated with the Granting of Credit to Group Customers

The China Banking Regulatory Commission has decided to revise the Guidelines for Commercial Banks on the Management of Risks Associated with the Granting of Credit to Group Customers as follows:

Article 1 The Article 2 is revised to be "For the purpose of the Guidelines, the term 'commercial bank' refers to a Chinese-funded or Chinese-foreign joint venture, or a wholly foreign-invested commercial bank established within the People's Republic of China in accordance with the law."

Article 2 The Article 4 is revised to be "The term 'credit granting' refers to the business in which the commercial bank provides financial support directly to the customer or makes guarantee for the customer in respects of the indemnities and payment obligations that may be incurred during the relevant economic activities.
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