Regulators are expected to tighten......>

CHINA PRESS: Regulators are expected to tighten controls on consumer loan

asset-backed securities as issuance of those instruments in the exchange market

has surged by five times in the past year, the Economic Information Daily

reported Monday. The new issuance of consumption finance This year, ABS has

accounted for over 30% of total newly-issued ABS of CNY1 trillion as of Nov, 23.

But a large amount of these ABS have been issued in the exchange market, which

means they are out of the control of authorities, the report noted. This could

trigger default risk due to lack of transparency, poor risk assessment as well

as weak risk controls by issuers, the report warned. (Economic Information

Daily)