China’s insurance regulator plans major overhaul of rules
China’s insurance regulator is planning an overhaul of its practices with changes to how it regulates overseas investments made by the country’s insurers planned amid reports that the Chinese government is also considering merging its banking and insurance regulators.
China’s insurance regulator told journalists in Beijing today that all overseas investments made by the country’s insurers must now be made according to rules set by the central bank and the foreign exchange regulator.
New revised rules on insurance funds will take effect in April, Jia Biao, vice head of the capital operation department, told reporters in a briefing held in Beijing, according to various reports including the Chinese division of news outlet Reuters.
Regulators to merge?
China is also considering a merger of its banking and insurance regulators, Bloomberg News reported today.
Citing people familiar with the matter, the Bloomberg News report said that Chinese government agencies under the direction of a Communist Party central reform group led by President Xi Jinping are drafting a plan that would combine the China Banking Regulatory Commission (CBRC) and the China Insurance Regulatory Commission (CIRC).
Bloomberg News reported on the matter without naming its sources. China’s State Council Information Office, which acts as the public relations arm of the government, said in a statement it does not have a grasp of the situation at the moment.