Finance Sector: Finance and Policy Document

finance sector: Internet finance refers to deposits, loans, investments and other financial services provided through online channels rather than through traditional financial institutions such as banks, according to Global Times China. Lack of strong supervision has made the industry risky for investors. A policy document released Thursday by the State Council, China cabinet, tasked various government agencies with working to contain Internet finance risks, improve the competitive environment and boost investors' risk awareness. Some investors have ended up as victims of unscrupulous online finance platforms, arousing the concern of supervisors and experts. "These new measures are timely, as the online finance sector is at the crossroads of development," said said Ou Minggang, director of the International Finance Research Center at Beijing-based China Foreign Affairs University. The view was echoed by Yang Dong, vice president of China Law School at Beijing-based Renmin University, who said that the sector has been plagued by fraudulent cases in recent years, and better regulation can help select high-quality platforms to provide badly needed funds for smaller firms. Better regulation of this sector is not only conducive to investors' rights and sustainable development of those financial agencies, but also to sound financial order, Ou said. (news.financializer.com). As reported in the news.