China raises net capital requirements for futures companies

BEIJING — China's securities regulator will raise the net capital requirements for futures companies to 30 million yuan (about $4.36 million) from 15 million yuan.

The raise aims to strengthen settlement risk prevention, the China Securities Regulatory Commission (CSRC) said in a statement Friday.

Futures companies should provide more scientific and detailed data, set aside more capital to guard against risks, and will be under stricter oversight by regulators.

Considering the industry adaptability and market capacity, the new requirements will be implemented from October 1 this year, Zhang Xiaojun, spokesperson with the CSRC.

With a supervisory storm sweeping the country's financial sector, regulators have shown their resolve to protect against systemic financial crises.