China's Financial Regulatory Administration (FRA) held an expanded
party‑committee meeting to set near‑term priorities and drive high‑quality
industry development. The FRA called for differentiated, complementary
development across types of institutions and regionally tailored optimization of
institutional footprints. It said it will press ahead with reducing the number
of small‑and‑medium financial institutions while raising their operating
quality. The regulator ordered a deep cleanup of disorderly competition in the
financial sector, urging a shift from pursuing speed and scale to focusing on
quality and efficiency to boost core competitiveness. It also pushed
multi‑channel capital replenishment to strengthen financial institutions'
capital positions and sustainability.
