The People’s Bank of China (PBOC) has led the launch of a linked enterprise information system with several of the central government’s top regulatory agencies.
On 26 June PBOC, the Ministry of Industry and Information Technology (MIIT), the State Taxation Administration (STA) and the State Administration for Industry and Commerce (SAIC) presided over launch of the Enterprise Information Joint Network Inspection System (企业信息联网核查系统).
The first cohort of banks participating in the operation of online system encompasses a total of eight members, including Industrial and Commercial Bank of China (ICBC) Bank of Communications, China CITIC Bank, China Minsheng Bank, China Merchants Bank, China Guangfa Bank, Ping An Bank and the Shanghai Pudong Development Bank.
PBOC said that the system will serve as a key supporting mechanisms for the cancellation of enterprise bank account approvals, strengthening post-event management for enterprise accounts, optimisation of account services and prevention of account risk.
The system will provide the mobile phone numbers of key personnel for companies, as well as their enterprise tax payment status and their enterprise registration information.
Banks and non-bank payment organisations will connect to the system on a voluntary basis in their status as legal persons, and provide prompt reporting to public security bureaus when clients provide fake documentation or information or engage in fraudulent usage of documentation or information when handling enterprise bank account operations.
Official data indicates that as of the end of September 2019 Chinese enterprises and industrial and commercial registrants had opened a total of 45.88 million entity bank settlement accounts, comprising 92% of all entity bank settlement accounts.
On 9 January 2019 PBOC vice-governor Fan Yifei (范一飞) said at a routine policy press conference of the State Council that cancellation of enterprise bank account approvals and raising bank account service levels had major significance for the development of financial services for enterprises, and private enterprises and micro and small enterprises in particular.
PBOC reportedly plans to complete cancellation of the first batch of enterprise bank accounts before the end of 2019, as well as work with MITT, STA and SAIC to implement cross-department sharing of information.