The Emergence and Development of China's Credit Rating Industry-World Credit Organization

The Emergence and Development of China's Credit Rating Industry

In the Yuan Dynasty, in the urban areas of our country, there were some institutions and personnel specialized in providing investigation services for businessmen, often named "Bai Pao Tang", etc. Less, no industry formed. It was not until 1932 in Shanghai that there was a real credit institution—the China Credit Bureau, which was jointly established by Mr. Zhang Naiqi of Zhejiang Industrial Bank and Mr. Zi Yaohua of Shanghai Commercial Savings Bank. It was founded in June 1932. It officially opened on the 6th, with Mr. Zhang Naiqi as the chairman, and the registered address is No. 133, Yuanmingyuan Road, Shanghai.

At the peak of business development, the number of employees of the China Credit Bureau was as high as 90. The China Credit Information Service is a corporate credit investigation company. It provides three main services: one is the investigation of the history and current situation of the enterprise; the other is the investigation of the general economic and financial situation; the third is the market research. In 1935, Mr. Zhang Naiqi was arrested by the Kuomintang government along with Shen Junru and others for participating in the "Shanghai Salvation of the National Congress". This is the famous "Seven Gentlemen Incident" in modern history. After the victory of the Anti-Japanese War, the China Credit Bureau resumed its business in Shanghai. It was not until 1949 that the credit bureau officially closed down.

After my country's socialist transformation, the planned economic system does not require the existence of the credit evaluation industry. After the reform and opening up, especially since 1992, according to the needs of economic development, credit investigation agencies emerged again. However, due to the restrictions of laws and administrative concepts at that time, credit companies could not be officially registered. These early credit institutions all existed in the form of management, consulting, and information service companies, and there were also several credit institutions named after credit, which were all invested and approved by government agencies. In 2002, both the Party Central Committee and the State Council put forward the strategic goal of establishing a social credit system. For a while, honesty and credit became a hot topic in society. Many people of insight began to invest in the credit evaluation industry. Integrity or trust named sites. However, the long-term concept of planned economy believes that credit evaluation is a matter of the state, and enterprises, especially private enterprises, have no right to intervene. Therefore, it was not until June 2004, before the implementation of the "Administrative Licensing Law of the People's Republic of China", that my country established the first The first privately-run credit rating agency: Henriette (Beijing) Credit Rating Firm.

Although the credit evaluation industry in China is still in its infancy, a number of outstanding credit companies have emerged. Their pioneering spirit promotes the development of China's credit evaluation industry, such as: Jincheng International, Boshengtong Management Consulting, Sinotrust , Huaxia Credit, Hisun Credit, Zhongjinguan Credit, CICC Credit, etc.

Since 2005, the number of credit institutions in China has also increased at a relatively rapid rate, as shown in the following table:

Note: The above data comes from "ICE8000 2004 ICE8000 China Credit Report", "2005 ICE8000 China Credit Report", "2006 ICE8000 China Credit Report", "2007 ICE8000 China Credit Report".

After 2007, some credit companies closed down due to various reasons. There are many reasons for the closure, one of which is the failure to achieve coordinated improvement in market development and professional knowledge.

All in all, China's credit evaluation industry has started and is developing vigorously. Moreover, we have reason to believe that under the guarantee of the spirit of the "Administrative Licensing Law" and "Anti-Monopoly Law", with the development of China's economy, in the near future, China will surely produce a number of credit companies with important influence in the world. mechanism.

Excerpted from: "Building an Integrity Unit——Risk Control and Integrity Management" (by Fang Bangjian)

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