Zhu Shumin, member of the National Committee of the Chinese People’s Political Consultative Conference, said that institutional reform in the financial sector has filled the gap in market regulation

According to reports, Zhu Shumin, member of the CPPCC National Committee and former vice chairman of the China Banking and Insurance Regulatory Commission, said during the discussion of the draft amendment to the Constitution of the CPPCC and the State Council’s institutional reform plan in the economic circles of the CPPCC National Committee, that we are optimistic about the capacity of the super-scale market. At present, we should strengthen the sense of urgency to implement the new development concept and build a new development pattern, and plan policies to accelerate the smooth internal circulation from the market perspective. To deal with financial risks, we should not only grasp the current situation, but also focus on the long-term. For example, small banks are the most active cells in the market economy. When risks arise, they should not be simply integrated. They should fully analyze the advantages and disadvantages before taking disposal measures. This institutional reform in the financial sector has filled the gap in market regulation. I hope it can be actively and steadily promoted, focusing on how to combine regulatory efficiency with scientific and technological progress and productivity development. (Securities Times)

Interpretation of this information:

Zhu Shumin, a member of the CPPCC National Committee and former vice chairman of the China Banking and Insurance Regulatory Commission, spoke about the optimism towards the super-scale market during a discussion of the draft amendment to the Constitution of the CPPCC and the State Council’s institutional reform plan. He emphasized the importance of implementing the new development concept and building a new development pattern while planning policies to accelerate smooth internal circulation from a market perspective. To handle financial risks, Shumin suggests that we should not only focus on the current situation but also the long-term outlook. Small banks are essential cells in the market economy, and when dealing with risks, regulators should first analyze the pros and cons before taking measures. The institutional reform has filled the gap in market regulation, and the focus should be on combining regulatory efficiency with technological progress and productivity development.