The State Administration of Financial Supervision: Banking and insurance institutions must continuously strengthen monitoring and early warning; it is strictly prohibited to illegally add new local government implicit debt under the guise of agriculture.

People’s Financial News, April 8 — The State Administration of Financial Supervision and Administration recently issued the “Notice from the General Office of the National Financial Supervision and Administration on Doing a Good Job in Financial Support for Rural Revitalization in 2026.”
It mentions the need to effectively prevent financial risks related to agriculture, rural areas, and farmers.
Continuously strengthen the monitoring of agricultural credit risks, guide banking institutions to closely observe changes in credit asset quality, conduct thorough loan “three checks,” and effectively prevent agricultural loans from being illegally used to repay debts or principal of local government financing platforms or flowing into other non-agricultural sectors.
Improve risk classification, increase provisioning and expected credit loss provisions.
Accelerate the disposal of non-performing agricultural assets, make full use of the pilot policy for transferring personal non-performing loans, and promote the establishment of a sound mechanism for rapid write-off of small non-performing loans.
Banking and insurance institutions should continuously strengthen monitoring and early warning, strictly prohibit illegal new implicit local government debt under the guise of agricultural-related activities.
Strengthen the management of agricultural credit insurance activities, standardize cooperation with third-party agencies, and strictly prohibit collusion with illegal intermediaries, fraudulently obtaining loans and insurance, and other misconduct.
Banking institutions should fulfill their main responsibilities, enhance daily supervision and management of rural inclusive financial service points, ensure the security of core business data, strictly prohibit conducting financial activities beyond scope, and effectively prevent risks related to illegal fundraising and other illegal financial activities.