Caixin
Jan 26, 2021 07:32 PM
FINANCE

Central Bank Governor Suggests Ant Group May Be Allowed to List After All If It Follows Law

What’s new: People’s Bank of China Governor Yi Gang suggested Tuesday that as long as Ant Group Co. Ltd. follows the law and fixes its problems, it will be able to resume its planned IPO.

“I would say that if you just follow the standard of legal structure (framework), you will get a result,” he said in a virtual discussion at the World Economic Forum, when he was asked if the fintech giant could get back on track with its listing plan.

Yi said that the authorities have made sure that Ant Group does not cease offering its services as it overhauls its business. “You can see that the mobile payment (services) provided by Alipay have been (working as) normal,” he said.

Yi also noted that some consumers have complained their privacy has been violated.

What’s the background: After Ant Group’s high-flying IPO plan was suspended in November, financial watchdogs required it to overhaul its business to meet regulatory requirements, in a bid to control risks and protect consumers’ interests.

Earlier this month, the central bank’s Deputy Governor Chen Yulu said that regulators are in close contact with Ant Group in drafting plans and formulating a timetable to rectify its operations.

Related: What You Need to Know About Ant Group’s Suspended IPO and the Future of Chinese Fintech

Contact reporter Timmy Shen (hongmingshen@caixin.com) and editor Heather Mowbray (heathermowbray@caixin.com)

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