CBIRC allows insurance companies to conduct securities lending
Securities lending facilitates short-selling, and while Chinese regulators – like many other regulators – often express concern over the risks associated with the practice, it does play a role in…
PBoC cuts reserve requirement ratio to support banks’ long-term funding needs
The RRR cut has been seen by many as a monetary stimulus. We do not share this view. We see the move as a targeted measure to help banks…
Ant Group, Zhejiang SOE apply for credit reporting license
Only 35% of Chinese citizens have a formal credit history, which has held back the development of consumer finance in the country. The government has tried…
Several Chinese insurers suspend online operations
The CBIRC’s October notice has evidently prompted insurers to take action to rectify practices in their online business and products to comply with the regulatory requirements. We expect…
CBIRC launches rectification campaign in insurance sector after inspections
As the insurance industry is gradually given more leeway in the ways it interacts with China financial markets, regulators want to ensure that…
State Council signs off on commitment system for securities and futures violations
These measures are among many that are being rolled out to comply with the new Securities Law which went into effect on March 1, 2020, with the aim of cleaning up China’s capital markets…
GBA Wealth Management Connect update
Brisk activity on the WMC in its first several months bodes well for the program and for the future of cross-border financial connectivity in the GBA…
PBoC and SAFE to unify Panda bond rules, lift restrictions on remittance of proceeds
Pushing the development of the Panda bond market seems to have shot up the “to-do” list of China’s regulators. This draft comes hot on the heels of the launch of…
BlackRock’s first mainland fund passes initial lock-up period
BlackRock’s fund turned in a solid initial performance against the market. What’s more encouraging for the firm, though, is the high level of…
CBIRC strengthens rules governing insurers’ equity investments and corporate governance
The measures reflect the CBIRC’s continuing concerns about governance and management in the insurance sector after a series of scandals over the past few years…
CBIRC relaxes credit rating requirements for insurers’ investments in bonds
As China’s regulators continue to expand the scope of investment targets for insurance funds…
SAFE proposes new forex derivatives to help companies manage risks
The RMB has been on an extended period of appreciation against the dollar and reached a six-year high in November. Regulators are increasingly worried that…
Highlights of PBoC’s third-quarter monetary policy report
The priorities laid out above will be familiar to close observers of China’s economic policymakers. The PBoC has avoided…
Financial regulators study 6th Plenum and Xi’s speech
Apart from formally ushering in the New Era of Xi Jinping, the 6th Plenum nailed down on paper what has been evident for some time…
Shenzhen opens securities arbitration center
On November 1, China (Shenzhen) Securities Arbitration Center opened in Shenzhen, the first of its kind in China…
NAFMII launches pilot program for overseas entities to issue social and sustainability bonds
This pilot program kills several birds with one stone – it further opens up…
PBoC, HKMA announce joint fintech sandbox
As financial connectivity within the GBA gradually picks up steam, Hong Kong…
CBIRC authorizes insurance funds to invest in REITS
In recent months, the CBIRC has gradually expanded the range of products eligible for investment by insurance funds to channel…
Beijing Stock Exchange opens for trading
It’s difficult to read too much into the first few days of the BSE’s operations. Which types of companies end up listing on the exchange over the next few months – and how they perform – will tell us a lot about where the BSE is headed…
Consolidation of banking sector continues as Henan lender leads another provincial merger
China’s regional commercial banks and rural lenders have been a source of endless problems for regulators…