Group 1 - The People's Bank of China (PBOC) is actively implementing long-term rectification tasks while focusing on concentrated rectification efforts, aiming to address deep-seated and common issues within the financial system [1][2] - The PBOC is accelerating the construction of financial infrastructure, including enhancing cybersecurity measures, improving treasury management, and strengthening regulatory oversight of financial market infrastructure [1] - The PBOC is advancing information technology reforms by developing project management guidelines, integrating information systems, and increasing the usage of data lakes and cloud services [1] Group 2 - The PBOC has made significant progress in financial legislation, including the implementation of the Anti-Money Laundering Law and revisions to the PBOC Law, while also working on the Financial Stability Law and other banking regulations [2] - The PBOC plans to integrate rectification efforts into the implementation of the Central Committee's decisions, maintaining a stable yet progressive approach to foster a favorable monetary and financial environment for economic recovery [2] - The PBOC is committed to enhancing the construction of a self-controlled, secure, and efficient financial infrastructure system to mitigate financial risks [2]

Core Insights - The People's Bank of China (PBOC) is actively implementing long-term rectification measures following the third round of inspections by the Communist Party, focusing on addressing deep-rooted and common issues in the financial sector [1][2] Group 1: Financial Infrastructure Development - The PBOC is accelerating the construction of technology-enabled monitoring and regulatory facilities, including the development of cybersecurity management systems and expanding the monitoring scope of the financial cybersecurity situation awareness platform [1] - There is a strong emphasis on enhancing treasury construction and management, ensuring the safe and stable operation of the treasury system, and advancing the national treasury project [1] - The PBOC is also focusing on strengthening the regulation and interconnectivity of financial market infrastructure, promoting the implementation of interbank and exchange market connectivity projects [1] Group 2: Information Technology Reform - The PBOC is advancing information technology reforms by establishing project management guidelines and actively promoting the integration of information systems across the organization [1] - There is a plan to enhance centralized management of data centers and to increase the usage rate of data lakes and central bank cloud services [1] Group 3: Financial Legislation Progress - The Anti-Money Laundering Law has been officially implemented, and significant progress has been made in revising the PBOC Law [2] - The PBOC is collaborating with the National People's Congress to advance the review of the Financial Stability Law draft and has achieved milestones in the revision of the Commercial Bank Law, Bill Law, and Foreign Exchange Management Regulations [2] Group 4: Future Work Plans - The PBOC plans to integrate inspection rectification into the implementation of the Central Committee's decisions, maintaining a stable and progressive work approach to foster a favorable monetary and financial environment for economic recovery [2] - There is a commitment to further solidify responsibilities for mitigating financial risks and to continue building a self-controlled, safe, and efficient financial infrastructure system [2]

Group 1 - The People's Bank of China (PBOC) is actively implementing long-term rectification tasks as part of the third round of inspections, focusing on addressing deep-rooted and common issues in the financial sector [1][2] - The PBOC is accelerating the construction of financial infrastructure, including enhancing cybersecurity measures, improving treasury management, and regulating financial market infrastructure [1] - The PBOC is advancing information technology reforms, including the development of project management guidelines and increasing the usage of data lakes and cloud services [1] Group 2 - The PBOC has made significant progress in financial legislation, including the implementation of the Anti-Money Laundering Law and revisions to the PBOC Law, while also working on the Financial Stability Law and other banking regulations [2] - The PBOC aims to integrate inspection rectification into the broader implementation of the Central Committee's decisions, focusing on creating a favorable monetary and financial environment for economic recovery [2] - The PBOC is committed to strengthening the responsibility for financial risk management and building a self-controlled, safe, and efficient financial infrastructure system [2]

Core Points - The Central Third Inspection Team conducted a routine inspection of the People's Bank of China (PBOC) from April 15 to July 20, 2024, and provided feedback on October 19, 2024 [1] Group 1: Responsibility and Mechanisms - The PBOC's Party Committee emphasized the importance of deep understanding and implementation of central requirements, unifying thoughts and actions to promote high-quality financial development [2] - A leadership group was established to oversee the implementation of the inspection rectification work, with various mechanisms set up for supervision, reporting, and evaluation of progress [3] - The Party Committee members are responsible for rectifying issues in their respective areas, ensuring that the rectification is integrated with daily work [5] Group 2: Key Issues and Rectification - The PBOC is committed to strengthening political construction and ensuring adherence to the "two safeguards," enhancing the political consciousness of all levels [6] - The PBOC is working on improving policies and systems to better serve the real economy, including the establishment of various financial policy frameworks [6] - A comprehensive review of existing regulations and normative documents is underway to enhance the timeliness and relevance of institutional construction [7] Group 3: Management and Supervision - The PBOC is optimizing the management and supervision of its affiliated enterprises, including reducing the number of enterprises and enhancing oversight mechanisms [8] - Financial management practices are being strengthened, with a focus on accountability for violations and improving procurement management [9] Group 4: Risk Management - The PBOC is enhancing financial risk monitoring and prevention mechanisms, establishing a macro-prudential and financial stability committee to assess systemic risks [10] - The PBOC is also improving administrative enforcement effectiveness and refining the regulatory framework for financial institutions [10] Group 5: Party Governance and Accountability - The PBOC is committed to deepening the implementation of strict party governance, with a focus on accountability and integrity within its ranks [11] - The PBOC is enhancing the selection and training of cadres, ensuring a robust pipeline of talent for the organization [13] Group 6: Long-term Rectification and Future Plans - The PBOC is focused on long-term rectification tasks, setting phased goals to address deep-rooted and common issues [14] - Future plans include reinforcing political awareness, consolidating rectification results, and promoting high-quality development in the financial sector [17][18]

Legislative Developments - The National People's Congress (NPC) Standing Committee has scheduled 14 legal proposals for continued review and 23 for initial review in 2025, including the Private Economy Promotion Law and Financial Law [1] - The Private Economy Promotion Law is expected to advance with a third draft review scheduled for April 27-30, aiming to enhance the legal environment for the healthy and high-quality development of the private economy [1] - The Financial Law and Financial Stability Law are also under scrutiny, with the People's Bank of China advocating for their expedited introduction to strengthen financial risk management [2] Financial Regulatory Framework - The current financial legal framework in China is characterized by fragmentation and lacks a comprehensive foundational law to unify and coordinate various financial regulations [2] - International experience suggests that many developed economies have achieved regulatory unity through foundational financial legislation, which China is encouraged to consider [2] - The People's Bank of China Law, established in 1995, has not undergone significant revision since 2003, indicating a need for updates to address existing gaps in monetary policy and financial stability [3]

Group 1: Legislative Developments - The National People's Congress (NPC) Standing Committee has scheduled 14 legal proposals for continued review and 23 for initial review in 2025, including the Private Economy Promotion Law and Financial Law [1] - The Private Economy Promotion Law is expected to advance with a third draft review scheduled from April 27 to 30, aiming to enhance the legal environment for the healthy and high-quality development of the private economy [1] - The NPC Standing Committee emphasizes the necessity and significance of establishing the Private Economy Promotion Law to ensure legal stability and long-term benefits [1] Group 2: Financial Legislation - The Financial Law and Financial Stability Law are under close scrutiny, with the People's Bank of China (PBOC) pushing for the expedited introduction of the Financial Stability Law [2] - Current financial laws in China, such as the Securities Law and PBOC Law, exhibit a fragmented and localized structure, lacking a comprehensive foundational law to unify regulation across sectors [2] - Suggestions have been made to draw from international experiences to create a Financial Law that enhances China's influence in international financial regulations and strengthens legal safeguards for financial supervision [2] Group 3: PBOC Law Revision - The PBOC Law, established in 1995, has only undergone one major revision in 2003, and there are calls for its urgent amendment to address deficiencies in monetary policy and financial stability [3] - Current issues identified in the PBOC Law include inadequate statutory responsibilities and insufficient legal mechanisms for effective governance [3] - Recommendations have been made to accelerate the legislative process for revising the PBOC Law to solidify the outcomes of institutional reforms [3]

Core Points - The National People's Congress (NPC) Standing Committee is set to review the draft of the Private Economy Promotion Law for the third time during its upcoming meeting from April 27 to 30 [1][3] - The 2025 legislative work plan includes the formulation of the Private Economy Promotion Law, Financial Law, and Financial Stability Law, as well as amendments to several existing laws [1][5] Legislative Developments - The third draft of the Private Economy Promotion Law aims to enhance support for the development of the private economy and ensure fair law enforcement [3] - The NPC Standing Committee has emphasized the necessity and significance of establishing the Private Economy Promotion Law to provide a legal foundation for long-term economic stability [3] Financial Legislation - The Financial Law and Financial Stability Law are highlighted as critical legislative initiatives due to the increasing complexity and risks in China's financial markets [5][6] - The current financial legal framework is characterized by fragmentation, necessitating a comprehensive law to unify and coordinate various financial regulations [5] - The People's Bank of China is actively promoting the expedited introduction of the Financial Stability Law to improve the financial legal system [6]