BEIJING (Reuters) - China’s banking and insurance regulator said on Thursday it will study market-based and law-based ways to restructure and reform high-risk rural commercial banks.
It will also invite commercial banks in good standing and qualified investors to participate in mergers and acquisitions (M&A) and restructuring of those rural commercial banks, the China Banking and Insurance Regulatory Commission (CBIRC) told Reuters in response to questions about risks facing the sector.
Officials from the local branch of China’s central bank and other regulators recently met financial institutions in Liaoning province to discuss measures to deal with liquidity problems at troubled Bank of Jinzhou (0416.HK), Reuters reported on Wednesday.
The Hong Kong-listed bank said on Thursday it is in talks with multiple parties for possible strategic investment and business operations overall are normal.
Reporting by Cheng Leng and Beijing Monitoring Desk; Editing by Jacqueline Wong