China's National Financial Regulatory Administration overhauls supervisory ratings for financial leasing companies with a new IT management factor and S grade

China's National Financial Regulatory Administration (NFRA) has revised and issued its supervisory rating measures for financial leasing companies, updating the rating framework used for differentiated supervision and the application of rating outcomes in supervisory and market-entry decisions. The revised measures set five rating dimensions with specified weightings: corporate governance (20%), capital management (15%), risk management (30%), professional capability (25%), and information technology management (10%). “Management quality” and corporate governance assessment content are consolidated under the corporate governance factor, and a new information technology management factor is added. Rating results are graded from best to worst as Levels 1 to 5 plus an S grade, with Levels 2 and 3 split into A and B sub-grades; higher numeric results indicate higher risk, and firms in restructuring, taken over, or undergoing market exit can be directly classified as S. The process also introduces a post-assessment dynamic adjustment mechanism where major subsequent developments or previously unknown material events are identified, and clarifies that rating outcomes will be a primary basis for supervisory planning, resource allocation, supervisory measures, and prudential conditions for approvals such as business scope and establishment of institutions.