China has postponed a plan to introduce credit default swaps to its domestic market after regulators objected and senior officials vetoed the proposal, reports the FT. The plan to launch a CDS pilot project in China had initially gained support from the central bank. But other regulators including China’s banking watchdog opposed the plan amid growing international concerns about the impact of derivatives and after Germany banned naked short selling in some securities.

This entry was posted by Gwen Robinson on Monday, May 31st, 2010 at 3:55 and is featured in The 6am Cut London (31 May 2010), The Lunch Wrap (31 May 2010) . Tagged with CDS, china. Edit this entry.