Systemic risks increase China’s pressure to strengthen oversight of foreign capital

A former official at the China State Securities Finance Corporation has called for tighter oversight of foreign capital in the world’s second-largest stock market, according to Bloomberg.
Yesterday’s statement said Ni Qingping, former head of China Securities Finance Corporation, called for tighter regulation of foreign exchange inflows during China’s opening of its financial market to avoid systemic risks.
Ni added that the unified management and monitoring of investment accounts, as well as transparent disclosure of pre-investment financial status, could be adopted to tighten foreign capital regulation.
The remarks came during his keynote address at an event hosted by the International Financial Forum in Guangzhou yesterday.
In addition, the China Banking and Insurance Regulatory Commission said: “The country will experiment with retirement savings products at state-owned banks in some cities to diversify its retirement financial plans.”
“The products developed by the CPC and the People’s Bank of China (the central bank) are long-term investments with stable returns, and are suitable for risk-averse residents,” the commission added.
According to initial plans, each of the four state-owned banks will be able to process 10 billion yuan (about $ 1.47 billion) during the one-year trial period, as the four deadlines for these products have been set from five to 20 years, over five-year periods. . The banks involved are: Industrial and Commercial Bank of China, Agricultural Bank of China, Bank of China and China Construction Bank.
A recent central bank report showed that cross-border use of the renminbi reached 9.7 trillion yuan (about $ 1.45 trillion) in the first quarter of this year, 8 percent year-on-year.
The figure includes 4.8 billion yuan in receipts and 4.9 billion yuan in payments, the report said. Cross-border RMB receipts and current account payments totaled 2.1 trillion yuan, up 23 percent year-on-year.
Of this figure, renminbi receipts and payments for goods trade stood at 1.6 trillion yuan, while renminbi receipts and payments for services trade and other current accounts reached 478.3 billion yuan.
The figure for cross-border RMB receipts and payments under capital accounts was 7.6 trillion yuan, 5 percent year-on-year.
In the technology sector, Li Ming, Deputy Minister of Science and Technology, said: “The sector has undergone historical, comprehensive and structural changes over the past decade.”
“China has fully joined the global innovation action network, and its scientific and technological developments demonstrate the extent of the sector’s overall planning and development trend, which is characterized by the features of the new era,” Li told a news conference. .
Li pointed out that the country has spent 2.7 times on the R&D sector over the past year 2021 compared to the level recorded in 2012, which set a new record level of 2.44 percent of the country’s GDP , while basic research expenditure was 3.4 times the level in 2012. …
“China has risen to 12th position in the Global Innovation Index 2021, rising from 34th place in 2012 to becoming the only country in the world to make sustained and rapid progress,” Li said.
Over the past decade, the level of scientific research and comprehensive strength in the disciplines of science and technology has improved significantly, while several disciplines have reached internationally leading levels, and many locally developed advanced equipment and a number of locally developed systems have been put into use, which has effectively improved the level of rapid industrial upgrade. .
Li said China’s scientific and technological development has become the primary driving force for supporting and guiding the country’s high quality economic development and improving people’s existence.
And sterilization services in China are spraying tons of chemicals, from streets to apartments to pets, in its quest to eliminate the Corona virus, though the effectiveness of this measure to combat the epidemic is being questioned.
China, where Covid-19 first appeared in late 2019, saw a resurgence of the epidemic at the beginning of the year with the mutated Omicron, causing the closure of entire cities, especially the most populous Shanghai .
The sterilization campaign, which is part of the “zero covid” strategy, is a systemic attack on the virus, a local official explained in early May.
Videos circulating online showed employees in full protective equipment spraying flats whose residents had been moved to the quarantine center.
No personal belongings, such as furniture, clothing and food, escaped the spray disinfectant in the houses from which the residents had to leave for this purpose.
Outside, the wave of sterilization has reached sidewalks, building walls and even gardens. Experts believe that these efforts are not helpful in light of a virus that spreads primarily through the air when you cough or sneeze.
“Extensive disinfection is not necessary because infection by touching infected surfaces is not a major cause of transmission,” explained Yanzhong Huang, a fellow at the Council on Foreign Relations in New York.

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