China Justice Observer

中司观察

EnglishArabicChinese (Simplified)DutchFrenchGermanHindiItalianJapaneseKoreanPortugueseRussianSpanishSwedishHebrewIndonesianVietnameseThaiTurkishMalay

China Drafts Financial Stability Law

Wed, 11 May 2022
Categories: China Legal Trends

On 6 Apr. 2022, the People’s Bank of China released the proposed “Financial Stability Law of the People’s Republic of China (Draft for Public Comment)” (《中华人民共和国金融稳定法(草案征求意见稿)》) and began soliciting public opinions through 6 May 2022.

The proposed law includes chapters on financial risk prevention, resolution, and disposal.

In recent years, China has gradually created a multi-layered legal framework to govern its financial system, with essential laws such as the Law on the People's Bank of China, the Law on Commercial Banks, the Securities Law, and the Insurance Law, as its core. The Financial Stability Law will coordinate the existing legal norms in a holistic manner.

The draft law comes up with an idea to establish a financial stability guarantee fund. This fund will comprise capital raised from entities like financial institutions and financial infrastructure, as well as other funds required by the State Council. It will be coordinated and managed by the Financial Stability and Development Committee of the State Council to tackle major systemic financial risks.

 

 

Cover Photo by Lan Lin on Unsplash

Contributors: CJO Staff Contributors Team

Save as PDF

You might also like

China Releases Typical Cases of Private Fund Crimes

In December 2023, China's Supreme People's Court (SPC) and Supreme People's Procuratorate (SPP) jointly released five typical cases of private fund crimes, aiming to establish uniform standards for handling such crimes nationwide and combatting criminal activities within the private fund sector.

SPC Releases IP Guiding Cases

In December 2023, China’s Supreme People's Court issued its 39th batch of guiding cases focused on intellectual property rights, covering various aspects such as IPR infringement disputes, patent ownership, and copyright ownership.

SPC Releases Judicial Interpretation on Contract Law

In December 2023, China's Supreme People's Court issued a judicial interpretation on the Contract section of the Civil Code, aimed at guiding courts in adjudicating disputes and ensuring nationwide consistency in application.

China Introduces New Drunk Driving Convictions Standards Effective 2023

In December 2023, China announced updated standards for drunk driving convictions, stating that individuals who drive with a blood alcohol content (BAC) of 80mg/100ml or higher on a breath test may be held criminally liable, according to the recent joint announcement by the Supreme People's Court, Supreme People's Procuratorate, Ministry of Public Security, and Ministry of Justice.

SPC's Revised Rules Extend Reach of International Commercial Courts

In December 2023, China's Supreme People’s Court's newly amended provisions extended the reach of its International Commercial Courts (CICC). To establish a valid choice of court agreement, three requirements must be met - the international nature, the agreement in writing, and the amount in controversy - while the 'actual connection' is no longer required.