China: Financial regulator stresses goal of eliminating systemic financial risk
Source: Asia Insurance Review | Dec 2023
The National Administration for Financial Regulation (NAFR) has stressed that it will comprehensively strengthen financial regulations and effectively forestall and defuse financial risks. It says that its bottomline is to ensure that there is no systemic financial risk.
The government agency held a meeting on 10 and 11 November 2023 to implement the decisions of the central financial work conference, which was held in Beijing in October, reported Global Times quoting a NAFR statement.
The NFRA vowed to achieve coordination in policies, regulations, and central and local governments.
Financial regulations will be stricter and cover all financial activities in accordance with the law. Financial supervision will be more forward-looking, precise, effective and better coordinated to eliminate any gaps or blind spots, according to the meeting.
It also vowed to boost the reform and transition of small and medium-sized financial institutions in an intensive manner. The insurance industry as an economic shock absorber and stabilizer for social harmony should be given full play. Active measures should be taken to help resolve local government debt risks and promote a virtuous cycle between finance and real estate, according to the meeting.
The central financial work conference was held in Beijing on 30 and 31 October, offering a clear path for the financial industry to tackle risks. A