Banks’ liquidity risk management under scrutiny

THE country’s banking and insurance regulator issued revised guidelines Friday for commercial banks’ liquidity risk management, part of efforts to improve supervision and risk control in the country’s financial sector.

Commercial banks’ high quality liquidity asset adequacy ratio should reach 80 percent by the end of 2018 and 100 percent by the end of June 2019, respectively, according to a statement posted on the website of the China Banking and Insurance Regulatory Commission. The regulator said the revised guidelines will take effect from July 1.

Regulators say bond defaults pose no systemic risks

RECENT defaults in China’s corporate bond market don’t pose systemic risks, and regulators are studying measures to deal with those problematic debt obligations, Shanghai Securities News reported, quoting unidentified regulators.

Defaults by Chinese private firms were the result of tighter credit conditions as the new asset management rules forced banks to shrink their off-balance-sheet, the newspaper said. Regulators are studying market-oriented measures to deal with bond defaults, with plans to introduce private funds and asset managers to participate in debt restructuring of those companies that defaulted, it said.

Tesla hires new chief financial officer for China

TESLA Inc. on Friday announced a number of key executive hires including former GE and General Motors executive James Zhou as its China chief financial officer (CFO) and Neeraj Manrao, a former Apple executive, as director of energy manufacturing.

Zhou previously served as CFO for Asia Pacific and India for Ingersoll Rand. ”We’re excited to welcome a group of such talented people as we continue to ramp (up) Model 3,” Tesla said in a blog post, adding it would announce more hires in the coming days.

Lego forms video partnership with Tencent

LEGO has partnered with Tencent Holdings Ltd. to offer videos for the Chinese market, the latest effort by the Danish maker of toy building blocks to stay relevant in the digital age.

Lego on Friday launched more than 500 videos on Tencent’s web page, mobile applications and TV platforms, the toymaker said in a statement. An estimated 177 million kids under the age of 19 now use the Internet in China, according to the statement.