China mulls allowing more to practice asset appraisal

BEIJING - More people will be allowed to provide asset appraisal services, under a draft law submitted to the top legislature for a fourth reading on Monday.

The draft, submitted to a bi-monthly session of the National People's Congress (NPC) Standing Committee, allows certified appraisers who have passed national exams, as well as others who have expertise and hands-on experience in asset evaluation, to provide such services.

Under a previous draft, only certified appraisers are allowed to practice asset appraisal.

Practitioners must provide appraisal services and sign appraisal reports in accordance with the law, according to the draft, which is likely to be put to a vote at this session before it ends on Saturday.

The draft also stipulated that for matters involving state-owned assets or public interests, should an appraisal be legally required, appraisal agencies should assign at least two certified appraisers to the job and sign appraisal reports.

Appraiser qualification exams will be organized by national appraisal industry associations, according to the draft.

China has more than 14,000 appraisal agencies, with more than 130,000 certified appraisers and 600,000 others employed in the industry, according to official figures.

The appraisal industry should be regulated by authorities at city level and above, the draft said.

It also provided that appraisal agencies supervise and take responsibility for the professional conduct of their practitioners.

"The draft law is very significant in ensuring the sound development of the appraisal industry, maintaining order in the socialist market economy, as well as promoting reform of the state-owned enterprises and state-owned assets administration system," the NPC Law Committee said in a review report.