China Banking and Insurance Regulatory Commission: Resolutely crack down on "false innovations" and "chaotic innovations" that infringe on consumer rights

  China News Service, Beijing, November 28 (Liu Liang Xiabin) Cao Yu, vice chairman of the China Banking and Insurance Regulatory Commission, said in Beijing on the 28th when he attended the "2020 China Institute of Finance Academic Annual Meeting" that the relationship between strengthening supervision and supporting innovation should be handled properly.

Resolutely crack down on “false innovations” and “chaotic innovations” that deviate from the needs of the real economy, endanger financial stability, and infringe on consumer rights.

  Cao Yu revealed that since 2017, a total of 10,865 bancassurance institutions have been punished and 13,823 persons responsible, with a total fines of 8.737 billion yuan, exceeding the total of the previous ten years; 767 persons were disqualified and 766 persons were prohibited from practicing. Sex and authority are deeply rooted in the hearts of the people.

  Under the new development pattern, Cao Yu believes that financial regulators are shouldering new missions and need to actively shape financial regulatory concepts that conform to the new development pattern, persistently improve the effectiveness of regulation, and form a benign interaction and positive incentives between regulation and the market.

  In this context, he believes that the regulator needs to do three things.

First, we must respect the laws of finance, second, we must maintain the regulatory power, and third, we must release the vitality of institutions.

  "Always use the "three benefits" principles of whether it is beneficial to support the real economy, whether it is beneficial to prevent financial risks, and whether it is beneficial to protect the legitimate rights and interests of consumers as the basic criteria for measuring the rationality of financial innovation." Cao Yu said.

  He emphasized that under the new development pattern, the financial industry and regulators are facing new situations and tasks together.

The China Banking and Insurance Regulatory Commission will adhere to the bottom line of principles, strengthen the construction of a modern supervision system, improve supervision methods and methods, and enhance supervision efficiency.