According to the Economic Information Daily on May 25th, recently, the central bank, China Banking and Insurance Regulatory Commission and other departments have repeatedly "shouted" to maintain high supervision over real estate finance. At the local level, financial supervision departments in Guangdong, Hefei, Shenzhen and other places have continued to "patch" the housing-related credit policies to further contain financial loopholes. Under the tone of "housing and not speculating", the banking insurance supervision system is not soft on the illegal transfusion of real estate by credit funds. According to the statistics of straight flush iFind, since the beginning of this year, the banking insurance supervision system has disclosed 546 tickets issued by banking institutions, with a fine of 837 million yuan, and nearly half of the tickets were related to housing and land-related credit violations. Industry insiders predict that under the background that real estate finance is highly concerned by the regulatory authorities, strengthening the control of the whole process of loans and preventing the illegal flow of funds to real estate will remain the focus of future supervision.
The financial supervision policies of real estate have been intensively implemented
Recently, the central and local governments have made intensive voices to increase the real estate regulation. Many popular cities such as Shenzhen and Hefei have "patched up" the policies many times, and it has become one of the important contents of the regulation policies of the property market in many places.
in the past month, the financial supervision department has repeatedly voiced against real estate finance. Li Bo, deputy governor of the central bank, said at the Wudaokou Global Finance Forum in Tsinghua on May 22nd that we should give full play to the role of macro-prudential policies in structural targeted regulation, and take macro-prudential measures in time to prevent systemic risks in view of potential risks in specific areas such as real estate finance. China Banking and Insurance Regulatory Commission issued a document on May 2th, saying that speculation that goes against the wind, seriously disrupts the market order and interferes with the transmission of monetary and credit policies will be dealt with severely. The monetary policy implementation report for the first quarter released by the central bank on May 11th reiterated that "housing is not speculation", and made it clear that it insists on stabilizing land prices, housing prices and expectations, and maintaining the continuity, consistency and stability of real estate financial policies.
In addition, the Rural Banking Department of China Banking and Insurance Regulatory Commission recently solicited opinions from various localities on strengthening the supervision of corporate loans of rural cooperative financial institutions, which emphasized that corporate loans should not be invested in the real estate industry. The fund industry association has recently stopped fund subsidiaries from filing real estate supply chain products.
local financial supervision departments have continuously increased their supervision. For example, the first regular meeting of the local coordination mechanism of the Finance Committee Office (Guangdong Province) indicated that all members of the Guangdong coordination mechanism will strengthen risk monitoring and prevention and control, and continue to urge financial institutions to strengthen credit compliance management. Zhejiang Banking Insurance Regulatory Bureau recently said that it will strengthen cooperation with relevant local departments, jointly set up special working classes, and jointly investigate and crack down on all kinds of illegal activities in the real estate sector. Hefei Housing Security and Real Estate Administration issued a document requesting to strengthen the examination of the source of down payment funds, minimum down payment ratio, debt service income ratio and loan qualification of individual housing loans, and seriously investigate and deal with the illegal inflow of business loans into the real estate market.
First-tier cities such as Beijing, Shanghai, Guangzhou and Shenzhen, at the request of financial regulatory authorities, have conducted self-inspections on banks, and some cities have also organized regulatory inspections in a certain scope.
under the guidance of the policy of "implementing the prudent management system of real estate finance", the regulatory authorities strictly supervise the illegal entry of credit funds into the property market and the illegal lending of commercial banks to real estate enterprises. Many bank executives reiterated that they will continue to strengthen the control of real estate loans this year.
Liu Jun, president of Bank of Communications, revealed that the investigation of personal business loans illegally flowing into the housing market is one of the key tasks this year. The next step will be to further strengthen the management of personal business loans. Strengthen trade background review and use monitoring to prevent credit funds from flowing into illegal areas. Lv Jiajin, vice president of China Construction Bank, said that it will continue to implement strict list management of real estate development loans, actively carry out project compliance review, and strictly control project investment and fund use.
Many banks get high fines for illegal operations
With the continuous tightening of policies, the supervision of real estate finance has also remained high. According to the statistics of straight flush iFind, since the beginning of this year, China Banking and Insurance Regulatory Commission has disclosed 546 fines to banking institutions, and 1 fines above 1 million yuan, of which 8 fines involved real estate loans, and the total fines related to housing loans exceeded 3 million yuan.
Among them, Huaxia Bank was fined 98.3 million yuan, the highest fine, and the cause of violation involved "illegally providing financing for land reserve projects" and "illegally investing some wealth management funds in land reserve projects". Bohai Bank fined 97.2 million yuan, and the cases included "illegally issuing loans to real estate projects with insufficient capital", "illegally issuing land reserve loans" and "illegally issuing loans to real estate projects with incomplete four certificates". Bank of China was fined 87.61 million yuan for "illegal use of wealth management funds for land payment or replacement of land purchase loans by shareholders" and "illegal use of wealth management funds for land reserve projects".
"The recent intensive disclosure of fines in China Banking and Insurance Regulatory Commission shows that domestic financial supervision is normalized and there is a' zero tolerance' attitude towards illegal activities in the financial sector." Zhou Maohua, an analyst at the financial market department of China Everbright Bank, said.
The regulatory authorities have repeatedly reiterated that illegal misappropriation of bank loans is strictly prohibited. Why do banks always knowingly commit crimes? Zhou Maohua said that this should be found from both ends of supply and demand. On the one hand, the domestic real estate loans are large, the credit lock-up period is long, the interest rate is high, and the bank income is stable. The steady increase in house prices makes the collateral relatively safe, the real estate non-performing rate is low, and the bank mortgage risk control management cost is low; On the other hand, some property buyers use bank credit funds to "leverage" speculative real estate speculation, and the specific use of funds has problems such as difficulty in monitoring and high cost.
A person from the bank's credit department told the reporter that the regulator has always strictly supervised the illegal entry of credit funds into the real estate market, but it is not easy to intervene in the use of funds after the loan. "Enterprises trying to flow loan funds to real estate often have multiple accounts, and the funds are transferred between multiple accounts, which makes it difficult for the original lending bank to supervise the flow of funds."
Housing-related credit supervision is still the "highlight"
According to industry insiders, the focus of supervision in the banking sector will continue to maintain continuity and stability in the second half of the year, and it is expected that the supervision in credit supply and other fields will be further enhanced, and the punishment warning will be strengthened.
Zhou Maohua believes that the focus of banking supervision in the second half of the year is still the credit business. "Credit business is still the main business contributed by commercial banks. In addition, it is difficult for some domestic banks to deal with business violations, which requires a process."
Ren Tao, an investment bank analyst at Xiamen International Bank, said that in the next step, in addition to continuing to prevent all kinds of illegal funds from flowing into the real estate sector, the regulatory authorities may also strictly control the growth rate of real estate loans and increase the risk weight of real estate loans. In addition, on the basis of strictly restricting the credit financing and supply chain financing of real estate enterprises, the equity financing and ordinary bond financing (including US dollar debt) of real estate enterprises are restricted to some extent.
With regard to the development of commercial banks under the background of strict supervision, Zhou Maohua said that the core competitiveness of commercial banks is to operate steadily, enhance the ability of risk control, and continuously enhance the ability of financial innovation and service quality. Banks should improve their management system, cultivate a corporate culture of conducting business in accordance with laws and regulations and operating steadily, and further optimize their modern structure.
Ren Tao suggested that banks should actively conform to the regulatory guidance, invest credit resources in small and micro enterprises, manufacturing enterprises, science and technology enterprises and green credit enterprises, and keep the weight of credit in areas with clear regulatory guidance rising steadily.