Wang Hongguang: Banks can use financial technology such as blockchain to reduce due diligence costs

On December 10th, at the Fifth Annual Financial Conference 2018-2019, Wang Hongguang, former vice president of the China Academy of Science and Technology Development Strategy Research Institute of the Ministry of Science and Technology, stated that in view of the current economic development, it is necessary to implement the six measures proposed by the central government. This includes banks lending. Banks can use financial technology such as big data and blockchain to reduce due diligence costs, and the central bank must provide appropriate subsidies to banks with many small and micro enterprises, and encourage banks to lend to small and micro enterprises. Only by giving loans to small and micro enterprises can the "capillary blood vessels" have a blood flow economy and be energetic.