Regulatory official says 'major measures needed' to allow private capital into sector

Major measures needed to allow private investors to enter the banking sector, including issuing restricted licenses and requiring contingency plans, were highlighted by a senior official at a forum on Monday.

"Shareholders should cover the risks and receive supervision from authorities, while licenses with restrictions should be issued and a contingency plan will be essential to avoid problems," Yan Qingmin, assistant chairman of the China Banking Regulatory Commission, said at a forum organized by Sina.com.