EXCLUSIVE-China to push its tech giants to share consumer credit data-sources

 

* Plan will affect companies including Ant Group, Tencent, JD.com -sources

* Aim is to prevent excess borrowing and fraud -sources

* Adds to recent proposals to sharpen scrutiny of tech champions

 

By Julie Zhu, Reuters 

January 11, 2021

 

HONG KONG, Jan 11 (Reuters) - China plans to push tech giants including Ant Group, Tencent and JD.com to share consumer loan data to prevent excess borrowing and fraud, two people with knowledge of the matter said, in Beijing’s latest tightening of scrutiny.

 

The plan, if implemented, would effectively end the government’s laissez-faire approach to the industry and is another sign of attempts to rein in the country’s technology champions. Large internet platforms have tended to resist handing over their data, a crucial asset that helps them run operations, manage risk and lure new customers.

 

Chinese regulators, including the central bank, the People’s Bank of China (PBOC), plan to instruct internet platforms to feed their vast loan data to some of the nationwide credit agencies, the two sources said.

 

The agencies, which include the PBOC’s Credit Reference Center, China’s main, centralized credit scoring system, and the central bank-backed Baihang Credit, the country’s first licensed personal credit agency, will share the data more widely with banks and other lenders to adequately evaluate risks and prevent over-borrowing, the people said.

 

Ant and Tencent declined to comment.

 

JD.com and the PBOC did not immediately respond to requests for comment.

 

The two sources declined to be identified...

 

CUSTOMER CREDITWORTHINESS ...

 

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https://www.reuters.com/article/china-big-tech-data/exclusive-china-to-push-its-tech-giants-to-share-consumer-credit-data-sources-idUSL1N2JM0HY