State Council General Office Guiding Opinions concerning Accelerating the Advance of Social Credit System Construction and Building Credit-Based Novel Supervision and Management Mechanisms
GBF No. (2019)35
All provincial, autonomous region and municipal People’s Governments, all State Council Ministries and Commissions, all directly subordinate bodies:
In order to strengthen the construction of the social credit system, deeply advance the “release, management and service” reform, further give rein to the fundamental role of credit in innovating supervision and management mechanisms, raising supervision and management capacities and levels, even better incite the vigour of market subjects, and promote high-quality development, with the agreement of the State Council, the following Opinions are hereby put forward.
I, General requirements.
With Xi Jinping Thought on Socialism with Chinese characteristics for a new era as guidance, deeply implement the spirit of the 19th Party Committee and its 2nd and 3rd Plenums, according to the basic principles of acting according to laws and regulations, reform and innovation, coordinated and joint governance, with strengthening credit supervision and management as rallying points, innovate supervision and management concepts, supervision and management structures, and supervision and management methods, establish and complete novel supervision and management methods running throughout the whole lifecycle of market subjects, connecting supervision and management links ex ante, ad interim and ex post, incessantly enhance supervision and management capabilities and levels, further standardize market order, optimize the commercial environment, and promote high-quality development.
II, Innovating credit supervision and management in the ex-ante link
(1) Establishing and completing credit commitment structures. When handling administrative licencing affairs using credit commitment structures, where applicants’ commitments conform to approval conditions and they have submitted the relevant materials, this shall be handled immediately. Where applicants’ credit situation is relatively good, and a part of the application materials is incomplete but they commit in writing to provide this within the provided time period, they shall be accepted with priority, and the handling process is to be accelerated. The circumstances of honouring written commitments will be entered into credit records, to act as an important basis for ad interim and ex post supervision and management, applicants not honouring them will be subject to punishment in view of the circumstances. We must accelerate combing through administrative licensing items amenable to the introduction of credit commitments, formulate credit commitment letters with standardized templates, and rely on all levels’ credit portal websites to publish them. Market subjects are encouraged to actively issue credit commitments to society. Sectoral associations and chambers of commerce are supported in the establishment and completion of intra-sector credit commitment structures, strengthening sectoral self-discipline. (All localities and all departments are respectively responsible according to their duties)
(2) Exploring the introduction of business people’s pre-access sincerity education. Fully utilized all levels’ and all categories’ government service windows, to broadly launch education on legal compliance and sincerity among market subjects. When handling work related to registration, examination and approval, filing, etc. for market subjects, timely introduce standardized, regularized and convenient legal knowledge and credit knowledge education, raising business people’s consciousness on doing business according to the law and sincerely. The launch of credit education must not be fee-paying, and must also not be a necessary condition for market access. (All localities and all departments are respectively responsible according to their duties)
(3) Vigorously expand credit reporting applications. All kinds of market subjects are encouraged to more broadly and actively use credit reports in their production and commercial activities. In processes such as government procurement, tendering and bidding, administrative examination and approval, market access, credential verification, etc., fully give rein to the role of credit reports issues by public credit service bodies and third-party credit service bodies. Explore the establishment of nationwide uniform credit report standards, promote cross-regional mutual recognition of credit report results. (NDRC, PBoC take the lead, all localities and all departments are respectively responsible according to their duties)
III, Strengthening credit supervision and management in the ad interim segment
(4) Comprehensively establish market subject credit records. Establish credit information collection catalogues on the basis of lists of powers and responsibilities, timely, accurately and comprehensively record market subjects’ credit activities in the process of handing registration, qualification verification, daily supervision and management, public service, etc., especially file and record untrustworthiness records, ensure that these can be consulted, verified and traced. ((All localities and all departments are respectively responsible according to their duties). Perfect uniform social credit code structures for legal persons and non-legal person organizations, use the uniform social credit code as a marker to integrate and shape integrated market subject credit records, and publish these according to laws and regulations through channels such as the “Credit China” website, he national enterprise credit information publication system or the China governmental web, as well as other related portal websites. Complete the 12315 market supervision and management complaint reporting hotline and informatized platform integration work, forcefully launch consumer complaints publication, stimulate businesspeople to implement their leading responsibility for consumer rights defence. (NDRC takes the lead, all departments are respectively responsible according to their duties).
(5) Establishing and completing voluntary credit information registration mechanisms. Encourage market subjects to voluntarily register credit information on qualifications and licences, market operations, contract fulfilment, social welfare, etc. on the “Credit China” website or other channels, to make public credit commitments concerning the veracity of the information, authorize the website to integrate, share and apply corresponding information. Verified voluntarily registered information may be an important basis to conduct credit evaluation and generate credit reports. (NDRC takes the lead, all departments are respectively responsible according to their duties.
(6) Deeply conducting comprehensive credit evaluation. The nationwide credit information sharing platforms must strengthen coordination and cooperation with relevant departments, integrate all kinds of credit information according to laws and regulations, conduct full-coverage, standardized, and public interest-type comprehensive public credit evaluation of market subjects, regularly report evaluation results to corresponding government department, financial bodies, sectoral associations and chambers of commerce for reference and use, and publish them to society according to relevant regulations. Promote relevant departments’ use of comprehensive public credit evaluation results, integrate departmental and sectoral management data, establish sectoral credit evaluation models, and provide ever more accurate bases for credit supervision and management. (NDRC takes the lead, all departments are respectively responsible according to their duties)
(7) Forcefully advancing tiered and categorized credit supervision and management. Divide supervision and management across tiers and categories on the basis of fully grasping credit information, and comprehensively deliberating the situation of credit, and on the basis of comprehensive public credit evaluation results and sectoral credit evaluation results, etc., and adopt differentiated supervision and management measures based on the height of the credit tier. “Double random and one public” supervision and management must be integrated with credit tiers, the proportion and frequency of spot checks may be reasonably lowered for market subjects with relatively good credit and relatively low risk, reducing influence to their regular production and operations; for market subjects with ordinary credit risks, spot checks are conducted with conventional proportions and frequencies; for law-breaking, untrustworthy, and relatively high-risk market subjects the proportion and frequency of spot checks will be appropriately increased, implementing strict management and punishment according to laws and regulations. (All localities and all departments are respectively responsible according to their duties)
IV, Perfecting credit supervision and management in the ex-post segment
(8) Completing determination mechanisms for the counterparts for joint punishment for trust-breaking. Relevant departments will establish and complete name list systems for the counterparts of joint punishment for trustworthiness according to laws and regulations, on the basis of untrustworthiness records obtained and determined during the ex ante and interim supervision and management segments. Market subjects with unlawful and untrustworthy acts of a malicious nature, with grave circumstances and relatively large social harm will be listed on the name list for joint punishment counterparts for untrustworthy acts according to procedure and on the basis of corresponding judicial verdicts, administrative punishments, administrative coercive measures, etc. Accelerate the perfection of relevant management rules, clarify determination bases, standards, procedures, dissent appeals and withdrawal mechanisms. For the formulation of management rules, the opinions from the social public must be fully solicited, and published standards and their concrete determination procedures will be made published to society in an appropriate manner. Relevant departments will be supported to establish name list systems for focus attention targets on the basis of requirement, for market subjects where untrustworthy acts exist but the degree of gravity has not reached the determination standard for joint punishment of untrustworthiness, it is permitted to implement strict supervision measures corresponding to the degree of their untrustworthiness. (All departments are respectively responsible according to their duties)
(9) Supervising rectification of untrustworthy market subjects within a limited time. Untrustworthy market subjects shall earnestly rectify matters within the provided time limits; where the rectification is insufficient, the determining department will initiate procedures for prompting talks or warning talks according to laws and regulations, according to the principle of “who determines, has the talk”, and supervise untrustworthy market subjects’ fulfilment of related duties and deletion of the harmful influence. Talk records are included into the credit record of the untrustworthy market subject, and are entered into the national credit information sharing platform after uniform collection. Forcefully advance special campaigns on untrustworthiness issues in focus areas, and adopt powerful and effective measures to accelerate the progress of rectification. (All departments are respectively responsible according to their duties)
(10) Deeply conducting joint punishment for untrustworthiness. Accelerate the construction of cross-regional, cross-sectoral, and cross-area joint punishment mechanisms for untrustworthiness, and resolve the problem that untrustworthy acts emerge repeatedly, or emerge in other areas at the roots. Establish joint punishment measure lists according to laws and regulations, dynamically renew them and publish them to society, and create a large structure for joint punishment for untrustworthiness with multi-barrelled roles for administrative, market and sectoral punishment measures, and broad participation from social forces. Focus on implementing punishment measures for untrustworthiness with great punitive strength and good supervision and management effects, including constraining targets of joint punishment for untrustworthiness according to laws and regulations from issuing shares, tendering and bidding, applying for funding projects from the finance administration, enjoying fiscal preferences and other such administrative punishment measures, restrict them from obtaining credit lines, traveling on aircraft, traveling on high-grade trains and seats and other such market punishment measures, as well as reporting for criticism, public denunciation and other such administrative punishment measures. (NDRC takes the lead, all localities and all departments are respectively responsible according to their responsibilities)
(11) Determinedly implementing market and sector ban mechanisms according to laws and regulations. Implement strict supervision and management, and strengthen punishment with the focus on food and drug products, ecology and the environment, engineering quality, safe production, care for the elderly and children, urban operational security and other such areas directly connected with the security of the popular masses’ lives and assets. Firmly implement market and sectoral ban measures within a certain time period according to laws and regulations, even up to permanent expulsion from markets, against market subjects and their relevant responsible persons who refuse to implement a judicial verdict or an administrative punishment decision, do not improve after repeated violations, resulting in major losses. (NDRC takes the lead, all localities and all departments are respectively responsible according to their duties)
(12) Lawfully investigate liability for law-breaking and untrustworthiness. Establish and complete liability investigation mechanisms, impose untrustworthiness punishment against the legal representative or main responsible persons and actual controlling persons of market subjects listed on the joint punishment target list for untrustworthiness according to laws and regulations, and enter corresponding untrustworthy act on their personal credit record. Where unlawful or untrustworthy conduct occurs in organize undertaking work units or State-owned enterprises, it must be reported to the higher-level competent work unit and auditing department; where unlawful or trust-breaking conduct occurs among work personnel, they must be reported to their work unit and the related discipline inspection, supervision, organization and personnel departments. (All localities and all departments are respectively responsible according to their duties)
(13) Exploring the establishment of credit recovery mechanisms. Where untrustworthy market subjects correct the untrustworthy act and eliminate harmful influence within the provided time limit, they may conduct credit recovery through methods such as issuing credit commitments, completing credit rectification, passing credit inspections, accepting specialized training, submitting credit reports, participating in public interest and charity activities, etc. After recovery is completed, all localities and all departments must timely cease the publication of their untrustworthiness reports according to procedure, and terminate the implementation of joint punishment measures. Accelerate the establishment and perfection of mechanisms for coordination and joint action, handling all affairs through one network, and provide high-efficiency and convenient credit recovery services to untrustworthy market subjects. Third-party credit service bodies meeting conditions are encouraged to provide credit reports, credit management consulting and other such services. (NDRC takes the lead, all localities and all departments are respectively responsible according to their duties)
V, Strengthening support and safeguards for credit supervision and management
(14) Striving to enhance credit supervision and management informatization construction levels. Give full rein to the information collection and sharing role of the nationwide credit information sharing platform and the national “Internet Plus Supervision and Management” system, ensure that government departments’ credit information “is fully collected where it shall be collected”, enhance the interconnection and interaction of local credit information platforms and sectoral credit information systems, create smooth government and enterprise data circulation mechanisms, create “one network” completely covering credit information of all localities, all departments and all kinds of market subjects. Rely on the national credit information sharing platform and the national “Internet Plus Supervision and Management” system to share basic market subject information, law enforcement supervision, management and punishment information, untrustworthiness joint punishment information etc. with related departmental operations systems according to requirement, add applications in the process of credit supervision and management and other such processes, support the creation of a credit supervision and management coordination mechanism with synchronized data, uniform measures and consistent standards. (NDRC and State Council General Office take the lead, all localities and all departments are respectively responsible according to their duties)
(15) Forcefully advancing credit supervision and management information openness and publication. On the basis of integrated publication of administrative licensing and administrative punishment information, entrust the “Credit China” website, the Chinese government network and other channels with further researching and promoting the open uploading of information on administrative obligations, administrative affirmations, administrative collection, administrative fees, administrative rulings, administrative compensation, administrative rewards, administrative supervision and inspection, and other such administrative acts within seven working days, promote the publication of information in judicial verdicts and law enforcement activities related to untrustworthy persons subject to enforcement and untrustworthy persons making false complaints of whom the information should be published, ensuring that “what shall be published, is fully published”. (All localities and all departments are respectively responsible according to their duties)
(16) Fully giving rein to the supporting role of “Internet Plus” and big data in credit supervision and management. Rely on the national “Internet Plus Supervision and Management” system and other such systems to effectively integrate public credit information, market credit information, complaints reporting information and related Internet and third-party information, fully use big data, artificial and other such new-generation information technologies to realize that credit supervision and management data can be compared, processes can be traced, and issues can be monitored. All localities and all departments are encouraged to, in integration with reality, cooperate with big data bodies according to laws and regulations to exploit credit information, grasp market subjects’ business situations and the characteristics of their laws in a timely and dynamic manner. Fully use the national “Internet Plus Supervision and Management” system and other such systems to establish early risk assessment and early warning mechanisms, to discover and prevent symptomatic, cross-sectoral and cross-regional risks early. Use big data to actively discover and distinguish clues for violations of laws and regulations, effectively prevent acts violating laws and regulations harming the public interests and the security of the masses’ lives and assets. It is encouraged to enhance law enforcement supervision and management efficiency through the Internet of Things, the Internet of Vision and other such non-contact supervision and management measures to enhance the efficiency of law enforcement, supervision and management, realize the standardization, accuratization and smartification of supervision and management, reduce human factors, realize fair supervision and management, stop problems such as wilful inspections, multi-headed supervision and inspection, etc., realize “entering the door once, inspecting multiple matters”, and reduce disturbance to supervision and management targets. (State Council General Office, NDRC, State Administration of Market Regulation take the lead, all departments are respectively responsible according to their duties.
(17) Realistically strengthening the protection of credit information security and market subjects’ rights and interests. Strictly investigate and prosecute acts where credit information is leaked or distorted in violation of regulations, or credit information is used in pursuit of private gain, etc. Strengthen the construction of basic credit information security infrastructure and security protection capabilities. Establish and complete credit information objection and complaint structures, information providing and collecting work units must as quickly as possible examine and verify information to which market subjects have raised an objection and feed back the results, information verified as containing errors must be timely corrected or deleted. Where market subjects’ lawful rights and interests were harmed after they were erroneously assigned to the untrustworthiness joint punishment target list, or untrustworthiness joint measures were erroneously adopted, relevant departments and work units must vigorously adopt measures to eliminate the harmful influence. (All localities and al departments are responsible on the basis of their duties)
(18) Vigorously guiding sectoral organizations and credit service bodies to coordinate supervision and management. Relevant department-authorized sectoral associations and chambers of commerce are supported to assist in the conduct of sectoral credit construction and credit supervision and management, sectoral associations and chambers of commerce are encouraged to establish member credit records, conduct credit commitments, credit training, sincerity propaganda, sincerity advocacy etc., make sincerity into an important component for sectoral rules and sectoral conventions, and guide their sectors in strengthening awareness about doing business lawfully and sincerely. Promote the development of information services for credit inquiry, credit grading, credit insurance, credit guarantees, contract fulfilment guarantees, credit management consulting and training, etc., and realistically let third-party credit service bodies play a specialized role in aspects such as credit information collection, processing, use, etc. Relevant departments are encouraged to launch cooperation’s with third-party credit service bodies in areas such as credit record integration, credit information sharing, credit big data analysis, credit risk early warning, examination and verification of cases of untrustworthiness, tracing and monitoring of untrustworthy activities, etc. (NDRC, Ministry of Civil Affairs, People’s Bank of China are respectively responsible according to their duties)
VI, Strengthening organization and implementation of credit supervision and management
(19) Strengthening organizational leadership. All localities and all departments must make building credit-based novel supervision and management mechanisms into an important measure in deeply advancing the “release, manage, serve” reform, put it in an ever more prominent position, strengthen organizational leadership, detail divisions of work and responsibilities, and promote implementation in a forceful, orderly and effective manner. Perfect supplementary structures to credit supervision and management, and strengthen links with other elements of “release, manage, serve” reform. Departments responsible for market supervision and management and sectoral supervision and management must realistically bear their dominant responsibility in sectoral credit construction and credit supervision and management, fully give rein to the roles of sectoral organizations and third-party credit service bodies, create beneficial conditions for public supervision, integrate and create joint forces for credit supervision and management with joint participation from all of society. (NDRCD takes the lead, all departments and all localities are respectively responsible according to their duties)
(20) Launching trials and demonstrations. Organize and launch credit construction and credit supervision and management trials and demonstrations revolving around credit commitments, credit recovery, untrustworthiness joint punishment, credit big data exploitation and use and other such focus work. On the basis of exploration and innovation in all localities and all departments, timely summarize, abstract and exchange good methods and good experiences in launching credit construction and credit supervision and management, and reproduce and broaden them on an ever greater scale (NDRC takes the lead, all localities and all departments are respectively responsible according to their duties)
(21) Accelerating the establishment of rules and structures. Promote the formulation of social credit system construction-related laws, accelerate the research and promulgation of public credit information management regulations, unified social credit code management rules and other such regulations. Establish and complete nationwide uniform credit supervision and management norms and standards, timely publish related local regulations, government rules and normative documents, and upgrade methods effective in credit supervision and management practice into structures and norms. Grasp the formulation of national standards urgently needed in credit supervision and management. (NDRC, Ministry of Justice take the lead, all localities and all departments are respectively responsible according to their duties)
(22) Conducting propaganda and explanation. All localities and all departments must, through all kinds of channels and methods, conduct policy propaganda and explanation work in a thorough and detailed manner for market subjects, to let businesspeople fully understand and vigorously cooperate with credit-based novel supervision and management measures. Strengthen guidance and training for grass-roots and first-line supervision and management personnel. Organize news media to report broadly, vigorously propagate credit supervision and management measures and their results, and create a benign social atmosphere. (NDRC takes the lead, all localities and all departments are respectively responsible according to their duties)
State Council General Office
9 July 2019