Institutional structure of financial regulation in China: where is it now and where is it heading?

Abstract

This chapter examines the legal and institutional regulatory framework for China’s financial markets, and evaluates how China may need to restructure its regulatory regime in order to keep up with the market developments. It first provides a detailed discussion of the current Chinese financial regulatory framework. In light of the recent global financial crisis of 2008, this chapter identifies several major structural problems with the Chinese regulatory regime. It then conducts a comparative analysis of financial regulatory structure in overseas jurisdictions, as well as a contextual consideration of China’s local conditions, with a view to setting forward an appropriate agenda for reform of China’s financial regulatory structure.