The payments industry in China has witnessed significant changes in the regulatory landscape in the last few months.
Today marks the end of a consultation period on Draft Administrative Measures for Internet Payment Services of Non-Banking Payment Institutions (Draft Measures), published by the People's Bank of China (PBOC) on 31 July 2015. If implemented, the Draft Measures will impose caps on the value of online transactions, based on the level of identity verification.
The Draft Measures attracted initial criticism, with concerns that these could slow down growth of the industry and inhibit smaller innovative providers. Based on industry feedback, it is unclear how long the PBOC will take to implement the final rules and whether any changes will be made to address concerns.