What’s new: China’s regulators outlined plans to establish sweeping new standards for the financial industry, covering digital currency, cross-border yuan settlements, green finance and fintech.
The People's Bank of China, the State Administration for Market Regulation, the China Banking and Insurance Regulatory Commission, and the China Securities Regulatory Commission jointly issued a development plan Tuesday to standardize the financial industry during the 14th Five-Year Plan period between 2021 and 2025.
The plan outlines key areas and goals for standard-setting in the financial sector over the five years to set up “a standard system compatible with the modern financial system.”
Why it matters: China’s financial regulators have stepped up efforts to work out a standardized playbook with clear criteria and rules in hopes of getting the country’s fast-evolving financial industry onto an orderly growth track.
The latest development plan stresses setting up clear boundaries between financial and nonfinancial businesses and between tech services and finance to prevent the spread of risks.
One of the focuses over the five years will be introducing unified standards to govern the burgeoning digital currency and cover technology, security and other processes involved in digital transactions.
Contact reporter Han Wei (weihan@caixin.com) and editor Bob Simison (bob.simison@caixin.com)
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