China Finance 40 Forum (CF40) Profile picture
Dec 1, 2019 9 tweets 3 min read Read on X
Marking its third volume, CF40’s 2019 Jingshan Report focuses on how and what kind of financial innovation can better serve the high-quality development of the economy. Overall, it has put forward eight policy recommendations:
1. Create a policy,institutional & legal environment that can better support innovation; protect #IP rights; implement competitive neutrality; further optimize the legal system for firms’ bankruptcy and restructuring; and establish a market clearing mechanism;
2. Develop an “optimal financial structure” that is compatible with high-quality economic development; develop multi-layer capital markets and encourage financial institutions to better serve innovation activities and #SMEs.
3. Reduce direct government control over the #capital market and lower policy uncertainties.
4. Explore the synergy between banks and the capital market, and promote the transformation of banks’ service model to one that combines the function of commercial #banks and #investment banks.
5. Control the pace and intensity of shadow banking regulation to reduce policy distortion; unify regulatory standards for asset management products to mitigate regulatory arbitrage.
6. Expand regulatory coverage to all industries; regulate the business model and activities of the digital financial industry.
7. Internationalization of #RMB should serve as the anchor of #China’s financial opening; implement transparent and prudent monetary and exchange rate policies; develop a rational system of financial markets and institutions and adopt a negative-list regulatory approach.
8. Adapt the regulatory system to reflect emerging financial innovation; balance the relationship between innovation and stability.

Report in English: cf40.org.cn/uploads/201911…

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Feb 22, 2023
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Despite the shrinking working-age population, there is a tremendous pool of surplus rural labor in China., said Caifang, Chief Expert of National Think Tank of Chinese Academy of Social Sciences. 1/5
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Feb 16, 2023
#China could consider implementing negative individual income tax (IIT) to boost consumption and employment, suggests CF40 Research Department in a 2022 policy brief ‘Negative Individual Income Tax: Some Thoughts on Policies to Drive Employment and Consumption’. 1/4
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