JP Morgan to become first wholly foreign-owned securities brokerage in China
JPMorgan may be the first, but it won’t be the last foreign firm to take full control of its onshore securities business…
CSRC accepts Standard Chartered HK’s application to set up mainland brokerage
This time, Standard Chartered bypassed the JV step and applied directly to set up a wholly owned subsidiary…
PBoC releases disclosure requirements for non-bank payment institutions
These measures are another step in efforts to clean up the payments sector, tighten oversight, and control risks. NBPIs have historically been lightly regulated – and the PBoC has long been uncomfortable with the largely hidden risks they pose to the financial system…
CBIRC issues measures to support Henan flood relief efforts
The recurrence of deadly flooding in Henan has underscored to regulators the importance of ensuring that financial institutions are doing their part to offset losses and contribute to economic recovery…
CBIRC revises reinsurance regulatory framework
We expect that China’s reinsurance market will continue to grow in the coming years and Beijing is laying the groundwork for an expanded reinsurance regulatory regime…
Standard Chartered announces establishment of center to service GBA expansion
Standard Chartered is the latest bank to announce a sizeable investment in the GBA – in recent months, several Hong Kong and foreign financial institutions have beefed up their headcount and poured additional resources into the mainland portion of the GBA in anticipation of this potentially lucrative new market opening for business…
Financial regulators outline priorities for remainder of 2021
These mid-year meetings are a good way for regulators to take stock of what’s been achieved and what remains to be done…
PBoC issues final version of rules to overhaul operations of credit rating agencies
Regulators have moved fairly quickly to publish the final version of the notice, an indication of the urgency of overhauling a sector hit by scandals and bond defaults that have exposed serious shortcomings in the current system…
CBIRC orders trusts to clean up non-financial subsidiaries
Trusts, long a central pillar of the shadow banking industry, have been under intense scrutiny from regulators over the past few years. This notice is part of a long-running crackdown to rein in practices that have fueled financial risks…
Anxin Trust to raise RMB 9 billion in state-backed bailout
Yet again, the state has to come to the rescue of a failed financial institution to prevent its problems from spreading across the sector – and leading to financial and social instability…
Pan Gongsheng sets out principles and priorities for foreign-exchange reform
While regulators may be keen for more overseas capital investment in RMB assets and, to some extent, for increased outward flows, the central government still wants a substantial say over how this capital – both inward and outward – is deployed…
Beijing and Chongqing to be approved as pilot zones for green finance reform
Achieving peak carbon and carbon neutrality will not come cheap and ensuring sufficient financing is available to both the public and private sectors to achieve those goals will be key to their success…
PBoC and CBIRC officials flag measures to support green finance, ESG investment
Comments made by Fan and Liang, while broad and lacking specifics, underscore how green finance and ESG have shot to the top of financial regulators’ agendas…
Banking and insurance leaders highlight investment opportunities from long-term carbon reduction targets
Given that these are Xi’s personal pledges, greening the economy has become a political task which means all sectors of the economy and society are rushing to back it…
Four cities launch multi-currency settlement accounts to facilitate forex conversion
This currency reform is not about opening up the capital account, but about reducing operational costs for companies with multiple foreign currency accounts…
CSRC releases rules clarifying administrative punishment for securities violations
Administrative punishments imposed by regulators have soared over the last three years as they have stepped up efforts to punish violations that have shaken public trust. The stock market is rife with misconduct and the CSRC has become increasingly aggressive in an attempt to restore market confidence…
CBIRC releases measures to evaluate the consumer protection systems of banks and insurers
As the government focuses on tamping down financial risk, consumer protection has become a top priority. Regulators have become increasingly concerned about mis-selling, misleading marketing, and failure to resolve customer complaints…
PBoC moves to standardize, centralize bond lending
China’s interbank bond market has grown exponentially over the past few years and is now the world’s second largest, fueled by the country’s huge appetite for debt and the opening up of the market to foreign investors and financial institutions. Yet regulation has failed to keep up or to respond to the growing demands from investors for more hedging tools and a more structured and formal system for bond lending and borrowing.
CBIRC highlights problems of insurers’ compliance with notice on management of long-term business
As the Chinese insurance sector grows in stature relative to other financial sub-industries, regulators will remain keen to carefully manage its development. The CBIRC wants to ensure that market order is protected, risk remains manageable, and consumer rights and interests are protected…
CBIRC punishes banks for shadow banking-related offences
Although regulators have claimed success in their campaign to rein in shadow banking, which began in 2017, they are still battling to stop activity that breaks the rules and that includes regular inspections of financial institutions…