China plans Credit Law to end fraud, consolidate tracking systems

China is pushing forward the legislation of a Credit Law that aims to strengthen the individual and corporates' credit tracking system and consolidate parallel tracking systems, according to a high-profile official.

Lian Weiliang, vice-chairman of the National Development and Reform Commission, the top economic planner, said on Wednesday that the Credit Law is in the making, and the current parallel credit report systems will be unified.

"Fraud has become ever more common in the society. Companies and individuals have been the victim of fake products, business fraudulence and scams, loan swindle and debts escaping, academic cheating. Swindlers have to pay a price," he told the Inaugural Social Credit Construction Forum, organized by China Chengxin Credit Rating Group.

Currently various credit report systems exist, such as those set up by State Administration for Industry & Commerce, People's Bank of China, Ministry of Commerce and so on. Swindlers have been able to take advantages of the cracks between different systems.

Lian said China is considering unifying these systems and roll out a single "credit code" for individuals and companies. The work should be completed before end-2017, he said.