Central Bank Party Committee: Create a favorable monetary and financial environment to promote continued economic recovery and improvement

The Zhitong Finance App learned that on September 22, the People's Bank of China Committee issued a notice on the third round of inspection and rectification of the 20th Central Committee. In the next step, the Party Committee of the People's Bank of China will continue to carry out its main responsibility for inspection and rectification, adhere to the combination of problem orientation and goal orientation, the integration of current reform with long-term establishment, and the combination of improving work and building a strong team to lead various tasks to a new level through inspection and rectification. Further shoulder its mission and promote the high-quality development of the financial industry. Integrate the continuous promotion of inspection and rectification into the implementation of the decisions and arrangements of the Party Central Committee, adhere to the general tone of steady progress, completely, accurately and comprehensively implement the new development concept, and create a favorable monetary and financial environment to promote the continued recovery and improvement of the economy. Further consolidate the responsibility to mitigate financial risks and prevent financial risks. Continue to strengthen the construction of an autonomous, controllable, safe and efficient financial infrastructure system.

The full text is as follows:

Notice from the Committee of the People's Bank of China on the third round of inspection and rectification of the 20th Central Committee

According to the unified deployment of the Central Committee, from April 15 to July 20, 2024, the Third Inspection Team of the Central Committee carried out routine inspections of the Party Committee of the People's Bank of China. On October 19, 2024, the Third Inspection Team of the Central Committee gave feedback on the inspection to the Party Committee of the People's Bank of China. In accordance with the relevant requirements of the inspection work, the inspection and rectification progress will now be announced.

I. Status of the Party Committee's implementation of the main responsibility for inspection and rectification

(1) Study thoroughly the requirements of the central government, and use ideological rectification to drive action rectification. After feedback from the Central Inspection Team, the Party Committee immediately held a meeting to study. During the centralized rectification period, several Party Committee meetings were held, the Party Committee's Theoretical Study Center Group was organized, external experts were invited to give special guidance, and thoroughly studied the spirit of General Secretary Xi Jinping's important speech, as well as the deployment of leading comrades in the central government and the requirements of higher authorities. Through study and discussion, Party Committee comrades have a high degree of unity of thought and understanding, and they agreed to resolutely unify their thoughts and actions into the decisions and deployments of the Party Central Committee to promote high-quality financial development through effective rectification and reform.

(2) Establish and improve six mechanisms for comprehensive, in-depth and efficient rectification. The first is to improve organizational leadership mechanisms. A leading group of the Party Committee of the People's Bank of China to implement the central inspection and rectification work was established, headed by the Party Secretary and other members of the Party Committee as deputy team leaders and members. The leading group has set up an office to undertake comprehensive coordination and supervision of the implementation of inspection, rectification and reform. The second is to establish a supervisory and implementation mechanism. The members of the Party Committee are responsible for studying the inspection and rectification work item by item, promoting it item by item, focusing on key points, and supervising them one by one. The leading group office schedules the progress of the work on a weekly basis and supervises rectification. The third is to establish a work briefing mechanism. Through briefings, biweekly reports, stage reports, etc., we comprehensively grasp and report on the improvement of the improvement in a timely manner. The fourth is to establish a mechanism for inspection and cancellation numbers. Based on “whether the measures have been implemented”, “whether the problem has been solved” and “whether the status quo has changed”, the rectification measures are strictly sold in accordance with the “third review” work process of the responsible department's evaluation, approval by the responsible party committee members, review by the leading group office and dispatched discipline inspection and monitoring team, and review and approval by the Party Committee. The fifth is to establish an on-site inspection mechanism. Insist on going deep into the frontline to promote reform. From late February to early March 2025, the Party Committee, the Party Group of the State Administration of Foreign Exchange, and the Discipline Inspection and Monitoring Team dispatched 9 working groups to carry out full-coverage on-site supervision and investigation. The typical problems discovered were named and reported throughout the system, and continued to follow up. The sixth is to establish a daily supervision mechanism. Discipline inspection and monitoring teams are dispatched to carry out daily supervision and inspection of inspection and rectification work.

(3) Carefully study and formulate rectification plans, and promote comprehensive rectification and special rectification in an integrated manner. The Party Committee carefully studied the spirit of General Secretary Xi Jinping's important speech while listening to the report on the third round of inspections of the 20th Central Committee, studied and understood the central inspection feedback word by word, formed a rectification plan and a “three-item list” based on key issues pointed out by the Central Audit, etc., and continued to make dynamic improvements. Promote special inspection and rectification of personnel selection and employment in an integrated manner. In the process of formulating and applying for approval of the plan, don't wait and rely on it; implement reforms as soon as possible.

(4) The main responsible comrades earnestly implement the “Four Personally” requirements and effectively carry out the responsibilities of the first responsible person. Host meetings of the Party Committee, meetings of the leading group for inspection and rectification, system-wide meetings, etc., to coordinate the planning and deployment of overall work, thoroughly supervise specific issues, and repeatedly emphasize that the Party Committee should strictly carry out its own rectification, that Party Committee members should strengthen their responsibility and guidance and supervision, and that all departments and units should strictly implement specific rectification tasks. Take the lead in leading the way on key difficult issues, study and approve the rectification plan separately, and continue to push forward the rectification. Supervise and investigate key agencies one by one to guide the formulation of rectification and reform directions and measures.

(5) Other members of the Party Committee earnestly carry out “one post and double responsibilities” and assume responsibility for rectification work in the fields they are in charge of. Other members of the Party Committee effectively assume the responsibility of being the first person responsible for rectification of issues in the field in charge, strengthen organizational leadership, lead departments (units) in charge to study and formulate rectification plans, and deploy and implement inspection and rectification in an integrated manner with daily work.

(6) Strengthen the responsibilities of all levels at various levels under the above rate. The Party Committee insists on carrying out rectification from the top down. It requires reform at the Party Committee level and within the agency. The Party Committee members are clearly responsible for every rectification issue, and that departments and bureaus are set up within the agency as the lead responsible department. Branches and affiliated units avoid “the top and bottom” and insist on seeking truth from facts to claim issues and rectify issues.

II. Inspection feedback on the implementation of rectification and reform of key issues

(1) Resolutely implement the spirit of General Secretary Xi Jinping's important instructions and instructions and decisions and arrangements of the Party Central Committee.

The first is to effectively strengthen political construction and resolutely carry out “two maintenance.” Formulate and issue the “Implementation Measures for the Party Committee of the People's Bank of China to Implement the “First Topic” System and strictly implement them. Request instructions and reports from the Party Central Committee on important situations in carrying out duties and economic and financial operations in a timely manner. Establish a closed loop of learning and communication, research and deployment, special supervision, and regular “look back”. The organizational ideology and political consciousness of strong party character at all levels throughout the system continue to improve.

The second is to further improve policies and systems to guide finance to better serve the real economy. Promote the publication of the “Guiding Opinions on Accomplishing the “Five Major Articles” in finance, and take the lead in establishing policy systems such as technology finance, green finance, inclusive finance, pension finance, and digital finance. Strengthen follow-up and effectiveness of policies and measures that have already been implemented, and strengthen the assessment and evaluation of key areas, especially private small and micro financial services. Optimize policy initiatives such as refinancing for scientific and technological innovation and technological transformation, carbon emission reduction support tools, and special reloans for inclusive pensions, promote the issuance of science and technology innovation bonds, and optimize and adjust reloans for affordable housing. Improve the macroprudential assessment (MPA) system.

The third is to continuously strengthen the establishment of the rule of law and comprehensively clean up departmental regulations and regulatory documents. Sort out the current regulatory documents of the People's Bank of China item by item, carry out systematic clean-up through methods such as enactment, reform, abolition, etc., promptly revise and abolish regulatory documents that do not meet the needs of practice, and improve the timeliness and pertinence of system construction. Insist on promoting construction through reform, introduce clean-up measures for the regulations and regulatory documents of the People's Bank of China, improve the clean-up work mechanism, and promote the institutionalization of clean-up work.

(2) Further strengthen the management and supervision of subsidiary enterprises and institutions.

The first is to optimize the institutions and operations of the affiliated unit. Implementing the spirit of Party and State institutional reform, the Party Committee of the People's Bank of China has deployed related work several times since 2024. After inspection and feedback, organizational units further optimized their subordinate institutions and operations, took more measures to continuously reduce the number of enterprises, fully implemented the agency code management system, and strengthened the penetrating management and full coverage management of reserved institutions.

The second is to establish and improve the “1+N+X” management system. Formulate and publish administrative measures for affiliated units to consolidate responsibilities at all levels. Revise system regulations in the fields of investment and financing, performance evaluation, centralized fund storage, profit (balance) allocation, fixed asset management, foreign donations, etc., and improve management mechanisms such as the list of rights and responsibilities for business matters, centralized financial accounting and procurement, and institutional set-up.

The third is to further strengthen the financial management of affiliated units. Supervise relevant units to rectify irregularities, and hold those responsible to account in accordance with regulations, discipline and law. Conduct interviews with units with unstrict or irregular implementation systems and report issues. Strengthen overall procurement management, supervision and evaluation, and formulate “Administrative Measures on Verification of Procurement Requirements for Large Procurement Projects”.

(3) Coordinate development and security to prevent and mitigate financial risks.

The first is to strengthen financial risk monitoring, early warning, prevention and control. Integrate the establishment of macroprudential and financial stability committees to analyze and judge systemic financial risk conditions. Establish a monitoring and early warning information sharing mechanism. Improve risk monitoring and early warning work procedures, risk warning, and early correction work guidelines for deposit insurance application institutions. Research and improve the criteria for identifying systemic financial risks in banking institutions. Incorporate electronic certificates of accounts receivable into supervision, issue regulatory documents, supporting rules, and promote implementation. Establish financial market risk monitoring and evaluation mechanisms, index systems and countermeasures, and formulate digital financial risk prevention measures.

The second is to consolidate branch responsibilities under the central financial supervision linkage mechanism. Under the framework of the Central Financial Commission system, implement the tasks of the head office and branches of the People's Bank of China, and clarify responsibilities for risk warning, early correction, and risk management.

The third is to vigorously enhance the effectiveness of administrative law enforcement. Improve administrative law enforcement system standards, optimize law enforcement processes, and improve law enforcement efficiency. The “Provisions on the Application of Discretionary Administrative Penalty Benchmarks of the People's Bank of China” were issued to further refine and clarify the basis and standards for administrative penalty discretion, and regulate the exercise of discretionary administrative penalty powers. Revise and publish the “List of Administrative Licensing Matters of the People's Bank of China” to improve the implementation standards for administrative licensing. Strengthen guidance on administrative law enforcement work throughout the system, and complete full staff training for administrative law enforcement personnel and legal system reviewers. An inter-ministerial joint conference on anti-money laundering was held to work with the Ministry of Public Security and others to crack down on anti-money laundering offenses.

(4) Deeply promote comprehensive and strict government of the Party, and continue to advance discipline and fight corruption.

First, the implementation of principal responsibilities is more firm and strong. Since 2024, a number of group talk meetings for newly appointed department and bureau-level cadres have been held to put forward clean government requirements. Party committee members went to many places for research to learn about the political ecology of each unit, the team, and the performance of the team members. Revise the “Rules of Work of the Committee of the People's Bank of China” and draw up a list of “three and one big” matters. A work conference on comprehensively and strictly governing the Party and discipline inspection and supervision was held, and the 2024 “First Leaders” review meeting of departments and bureau-level units were held, and requirements were put forward for “top leaders” at all levels to implement the political responsibility of managing the Party and governing the Party, lead a good team, and promote a new culture of integrity. Deepen warning education, carefully study the lessons of typical cases of serious disciplinary offenses and violations in the financial sector, and carry out in-depth measures to promote reform and governance through cases.

Second, discipline enforcement has been further strengthened. The Party Committee of the People's Bank of China and the Discipline Inspection and Monitoring Team are working in the same direction to continue to push forward discipline and fight corruption, and seriously investigate and punish a number of typical cases of disciplinary offenses. In response to specific issues raised by inspectors and related issues discovered during the self-inspection, relevant cadres are held to account in accordance with procedures, and rectification, damage reduction, and strengthened governance are simultaneously promoted. According to the “three modernization” construction year action plan for discipline inspection and supervision work, 20 measures have been proposed and implemented around key tasks such as improving the quality and efficiency of case handling work. Focus on guidance and strengthen review and control of lead cases from subordinate units. Formulate a system to strengthen the construction of discipline inspection institutions in units belonging to the People's Bank of China, and improve the quality and efficiency of supervision by affiliated units.

(5) Resolutely implement the Party's organizational line in the new era.

The first is to strictly strengthen the selection of cadres and the training of talents. Establish the “three excellent” employment guidelines, and take the attitude of treating individual gains and losses, progress and retreat as an important part of the political quality test. Plan and train a team of outstanding young cadres. Formulate the “People's Bank of China Cadre Exchange Work Measures” to further promote the institutionalization, standardization and normalization of cadre exchange work. Step up the training of reserve finance talents. Further improve the working mechanism for counselors.

The second is to effectively strengthen the construction of grass-roots party organizations. Revise the “Implementation Measures on the Debriefing, Review and Assessment of Party Organization Secretaries of the People's Bank of China for Grassroots Party Building Work”. Based on the situation of democratic life meetings, inspections, audits, etc., the effectiveness of the Party Organization Secretary in carrying out grass-roots party building efforts was comprehensively evaluated. Formulate implementation opinions to promote the normalization and long-term effectiveness of Party discipline study and education. Organize training courses for party branch secretaries and guide system units to organize and carry out training for party branch secretaries in a hierarchical manner.

III. Progress of matters requiring long-term rectification

While making every effort to carry out centralized rectification and reform, the Party Committee is implementing long-term rectification tasks in the spirit of nails, clarifying phased goals, and focusing on solving deep-seated problems and common problems.

(1) Continue to study and implement the spirit of General Secretary Xi Jinping's important remarks on financial work, the 20th CPC National Congress, the Second and Third Plenums of the 20th Central Committee, and the Central Financial Work Conference. The first is to hold the 2024 Democratic Life Conference and the Democratic Life Conference on the theme of inspection and rectification to carefully examine the shortcomings, deeply analyze the root causes, clarify the rectification measures and division of labor, and push forward the implementation of the rectification and reform. The second is to vigorously improve the quality and efficiency of learning. Party committee members earnestly participate in group study discussions at the Theoretical Study Center Group, carry out theoretical presentations, write theoretical articles, and play a role in guiding and promoting learning. Conduct in-depth research at the grassroots level, write research reports on theoretical study priorities, combine work in the field in charge, link theory with practice, and guide daily work. Organize exchanges and sharing sessions on advanced models to actively cultivate and vigorously promote financial culture with Chinese characteristics within the system.

(2) Continue to promote the construction of financial infrastructure. The first is to speed up the construction of technology-enabled monitoring and supervision facilities. Research and formulate relevant systems for cybersecurity management in the financial industry, expand the scope of monitoring of financial cybersecurity situation sensing platforms, organize, refine and improve emergency plans, and further enhance the financial industry's cyber security capabilities. The second is to strengthen treasury construction and management. Strengthen the monitoring of treasury system operations to ensure the safe and smooth operation of the system. Firmly promote the tracking, testing, and launch of the National Treasury engineering business. The third is to strengthen financial market infrastructure supervision and connectivity. Promote the implementation of connectivity projects such as the exchange of convenient tools between banks and exchange markets. Formulate and promulgate the “Financial Infrastructure Supervision and Administration Measures”.

(3) Continue to push forward information technology reforms. Formulate documents such as management measures and procedures for informatization projects, and actively promote the integration of information systems throughout the bank. Strengthen centralized management of data centers. Formulate data lake application work plans, prepare plans for application systems to go to the cloud, and promote a marked increase in the usage rate of data lake and central bank clouds.

(4) Continuously improve the efficiency of the utilization of fixed assets. Disposal and utilization is carried out through various methods such as sharing, transfer, replacement, rental, and auction. Revise the “People's Bank of China's Fixed Asset Management Measures” to strengthen the management of fixed assets throughout the process, strictly control asset allocation, improve the efficiency of asset use, and standardize asset disposal approval. Monitor the progress of each unit on a monthly basis, and supervise and step up efforts through supervision and interviews, assessments and evaluations, and information notifications.

(5) Continue to promote financial legislation. The Anti-Money Laundering Law has been officially introduced and implemented. Significant progress has been made in revising the People's Bank of China Law. Cooperate with the Legal Working Committee of the National People's Congress to promote follow-up review of the draft Financial Stability Law. Regulatory revisions such as the Commercial Banking Law, the Bill Act, and the Foreign Exchange Administration Regulations have achieved phased results. Promote the improvement of financial stability guarantee fund management rules.

(6) Continue to promote the establishment of a modern financial system with Chinese characteristics. Further deepening financial reform and opening up, the rectification process attaches great importance to strengthening institution-building, optimizing the financial structure, and solving outstanding problems. Conduct an assessment of the responsibilities of the People's Bank of China involved in the “14th Five-Year Plan”.

IV. Plans for next work

The Party Committee of the People's Bank of China will continue to carry out its main responsibility for inspection and rectification, adhere to the combination of problem orientation and goal orientation, integration of current reform with long-term establishment, and the combination of improving work and building a strong team to lead various tasks to a new level through inspection and rectification.

(1) Further strengthen political awareness and implement “two maintenance” through rectification and reform. We have always made studying and implementing Xi Jinping's ideology of socialism with Chinese characteristics in the new era a top political task, and continue to enhance the political consciousness, ideological consciousness, and sense of action for inspection and rectification. Thoroughly study and implement the spirit of General Secretary Xi Jinping's important remarks on inspections and financial work, continue to strengthen supervision, inspection, and effectiveness, and request reports on important matters in strict accordance with regulations. Continuously strengthen the Party's innovative theoretical arsenal, boost its mentality to face difficulties and take responsibility, and better serve the Chinese-style modernization drive.

(2) Further highlight the long-term effectiveness of normal conditions, and continuously consolidate the results of inspection and rectification. Insist on undiminished strength and standards, earnestly implement the “Opinions on Strengthening Inspection, Rectification, and Application of Results”, strengthen management at the source, and improve institutional mechanisms for long-term management and fundamental management. For rectification measures that have been completed during the centralized rectification period and have achieved phased progress, carry out a “look back” in due course to continue to consolidate the results of the rectification and reform to prevent the problem from rebounding; step up efforts and speed up progress to complete the rectification as soon as possible for the rectification tasks that were not completed according to the plan during the centralized rectification period; and continue to advance in accordance with the established goals for tasks requiring long-term rectification until all the problems have been rectified.

(3) Further shoulder its mission and promote the high-quality development of the financial industry. Integrate the continuous promotion of inspection and rectification into the implementation of the decisions and arrangements of the Party Central Committee, adhere to the general tone of steady progress, completely, accurately and comprehensively implement the new development concept, and create a favorable monetary and financial environment to promote the continued recovery and improvement of the economy. Further consolidate the responsibility to mitigate financial risks and prevent financial risks. Continue to strengthen the construction of an autonomous, controllable, safe and efficient financial infrastructure system.

(4) Further consolidate political responsibilities and further promote comprehensive and strict government of the Party. Resolutely shoulder the responsibility of comprehensively and strictly governing the main party, and consolidate the responsibilities of party committee secretaries at all levels as the first responsible person and the “double responsibilities” of other members of the party committee. Communicate closely with the dispatched discipline inspection and monitoring team, meet regularly, and implement the spirit of the 4th Plenary Session of the 20th Central Commission for Discipline Inspection. Strengthen supervision of the “first leaders” and leadership teams of lower-level units. Firmly carry out spiritual studies and education to thoroughly implement the Eight Regulations of the Central Committee, improve the mechanism for investigation and treatment of corruption, and keep the strict tone, strict measures, and strict atmosphere to the end.

This article was selected from “Central Bank Official Website”; Zhitong Finance Editor: Huang Xiaodong.