China’s Financial Shake-Up Shows Policymakers’ Growing Focus on Stability, Risk

pictureThe revamp of China’s financial regulatory system unveiled Tuesday by the State Council aims to improve the authorities’ ability to maintain financial stability and to tackle risks in areas such as local government debt, analysts say. Photo: VCG

The sweeping overhaul of China’s financial regulatory system unveiled Tuesday underscores the government’s growing focus on maintaining financial stability and curbing risk, analysts said.

The massive shake-up, which will include setting up a national financial regulator that oversees all parts of the financial sector apart from securities, was unveiled in a proposal submitted by the State Council to the annual meeting of the National People’s Congress, the country’s top legislature.