The China Banking Association plans to standardize loan documentation and issue guidelines nationwide to bring them into line with those used by foreign banks.

The guidelines, which would allow more foreign banks to tap into the syndicated-loan market, will be launched at domestic banks within six months to a year.

Documentation now used by mainland banks is currently not up to foreign banking standards.

The Loan Syndications and Trading Association, formed last month under the China Banking Association, and the Asia Pacific Loan Market Association agreed to set guidelines for mainland banks on draft documentation for commercial loans.

In the first half of this year, syndicated loans in the mainland amounted to 8.17 bln usd.

For 2005, syndicated loans totaled 7.35 bln usd.

Source:佚名