PBOC and FDIC sign MoU on further cooperation
Print Edition
China’s central bank yesterday signed a memorandum of understanding with the US Federal Deposit Insurance Corp on matters of technical assistance, exchange of information and the coordination of policy.
The People’s Bank of China said on its website that the areas covered by the MoU included financial services, depositor protection and global financial stability policies.
The two institutions have had a good relationship since signing an MoU in 2007 on training, deposit insurance and the promotion of healthy banking system operation, it added.
China has been trying to set up a deposit insurance system as part of its financial reforms, which could be realized by the end of this year. This will allow the PBOC to free up deposit rates that are now subject to administrative caps.
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