China Banking Association Outlines 10 Key Events for 2018

The peak self-regulatory body for China’s banking sector has compiled a list of the ten biggest events affecting the industry in 2018.

Pan Guangwei (潘光伟), vice-head of the China Banking Association, announced the list on 8 January at an industry summit.

1. The establishment of the State Council’s first Financial Stability and Development Committee (FSDC), and the unveiling of the official sign for the newly formed China Banking and Insurance Regulatory Commission.
2. The thorough implementation by the banking sector of the Chinese central government’s “Six Stabilities” and FSDC’s six requirements; the effective use of policy combinations and the use of “stable finance” to support “stable growth.”
3. China’s announcement of large-scale loosening of financial market entry requirements, expansion of the external opening of the banking sector, and acceleration of the pace of external opening.
4. The continued implementation of a series of “strong regulation” measures for the banking sector; the rectification of market malfeasance and online financial risk, the standardisation of the market order and the effective prevention of financial risk.
5. The banking sector’s use of multiple measures to implement the “spirit” of Chinese central government policy; the expansion of the vigour of financial support for private enterprise, and pragmatic increases to the quality and efficiency of financial services for the real economy.
6. Strengthening of regulation of banking sector companies, the launch of the “Commercial Banking Equity Management Provisional Measures” (商业银行股权管理暂行办法); the use of a comprehensive “three body” regulatory framework to drive stable development of the financial system.
7. The implementation of new asset management regulations and accompanying by-laws; the regulatory standardisation of asset management products in the same category, the establishment of a new asset management industry configuration.
8. The banking sector’s in-depth integration of fintech, its continued establishment of fintech subsidiaries, and the use of digitisation to invigorate and reshape the interface ecosystem.
9. The banking sector’s vigorous implementation of social responsibility, and the accelerated establishment of a financial inclusion system.
10. The unveiling of successive bank capital instrument innovation policies; the expansion commercial bank capital supplementation channels, and expediting positive financial cycles via stable operation of the banking sector.