Opinion: The Much-Needed Upgrade to China’s Financial Governance

China’s financial sector is poised for a major governance upgrade.

Four top regulatory bodies — including the National Financial Regulatory Administration and the central bank — recently issued a 22-measure directive setting a 2029 deadline for institutions to implement rigorous, transparent governance frameworks. This blueprint mandates clear lines of authority, strict risk management and balanced incentives and constraints, aiming to enhance the sector’s stability and drive high-quality growth.