The Theoretical Learning Center Group of the Party Committee of the China Securities Regulatory Commission issued an article in the People's Daily on April 22 saying that it is necessary to better play the role of the rule of law in the high-quality development of the capital market. Accelerate the formulation and revision of laws and regulations such as the Securities Investment Fund Law, the Regulations on the Supervision of Listed Companies, the Regulations on the Supervision of Corporate Bonds, and the Regulations on the Administration of Real Estate Investment Trusts, so as to significantly increase the cost of securities violations of laws and regulations.
The full text is as follows:
Persist in promoting financial innovation and development on the track of marketization and rule of law
——Study "Excerpts from Xi Jinping's Discourse on Financial Work"
Theoretical Learning Center Group of the Party Committee of the China Securities Regulatory Commission
General Secretary Xi Jinping attaches great importance to financial work and has made a series of important expositions. At the Central Financial Work Conference and the Seminar on Promoting High-quality Financial Development by Major Leading Cadres at the Provincial and Ministerial Levels, General Secretary Xi Jinping systematically expounded the basic essence of the road of financial development with Chinese characteristics and the main connotation of the modern financial system with Chinese characteristics, and raised our party's understanding of the essential laws and development path of financial work to a new height, which is the fundamental compliance and action guide for doing a good job in financial work in the new era and new journey. The Party Committee of the China Securities Regulatory Commission regards conscientiously studying and comprehending the spirit of the Central Financial Work Conference and General Secretary Xi Jinping's important instructions on the capital market as the primary political task at present, adheres to the integration of learning, thinking and application, the unity of knowledge, belief and action, and the practical actions of strengthening the supervision of the capital market to prevent risks and promote high-quality development, firmly supporting the "two establishments" and resolutely achieving the "two maintenances".
Persisting in promoting financial innovation and development on the track of marketization and rule of law is an important part of the "Eight Insistences" on the road of financial development with Chinese characteristics. The market attributes of the capital market are extremely strong and the normative requirements are extremely high, which requires us to further deepen our understanding of the general laws of capital market development and China's national conditions and market conditions when doing a good job in capital market supervision, continue to explore and improve in practice, and take the road of financial development with Chinese characteristics.
1. Persisting in promoting financial innovation and development on the track of marketization and rule of law is an inevitable requirement for accelerating the construction of a financial power
Finance is an industry with active innovation, and financial innovation capability is an important soft power of a financial power. Financial innovation activities, characterized by modern commercial banks, modern capital markets, and modern investment systems, have provided important support for the modernization of various countries. Since the 18th National Congress of the Communist Party of China, the CPC Central Committee with Comrade Xi Jinping at the core has continued to promote the practical, theoretical and institutional innovation of the mainland's financial industry, and has achieved a series of major achievements, which have strongly supported the overall situation of economic and social development, and made important contributions to building a moderately prosperous society in an all-round way and realizing the first centenary goal as scheduled. Under the strong leadership of the CPC Central Committee, the reform and opening up of the mainland's capital market has continued to deepen, the rule of law system has been continuously improved, the investment and financing functions have been gradually enhanced, and the market ecology has been further optimized. One of the valuable lessons learned is to persist in promoting financial innovation and development on the track of marketization and rule of law.
It should also be noted that driven by the profit-seeking nature of capital, financial innovation has two sides, and if it is left unchecked and allowed to develop in a disorderly manner, it may cause risks, cause chaos, and affect economic and social development. In recent years, some lawbreakers have engaged in fake and indiscriminate innovation, and even committed illegal and criminal activities in the name of financial innovation, which has caused huge risks. Financial stability, economic stability, economic stability. To promote the high-quality development of finance, we must deeply grasp the laws of financial development, adhere to integrity and innovation, adhere to marketization and rule of law, scientifically handle the relationship between development and regulation, innovation and supervision, guard the bottom line of risks, and ensure that financial innovation in the capital market always moves forward in the direction of better serving the needs of the real economy and the interests of the people.
Second, the key to promoting the development of financial innovation on the track of marketization and rule of law is to properly handle the relationship between the government and the market
General Secretary Xi Jinping emphasized: "Financial security depends on the system, vitality depends on the market, and order depends on the rule of law." "The Party Committee of the China Securities Regulatory Commission deeply understands that to promote financial innovation and development, we must give full play to the decisive role of the market in the allocation of resources, better play the role of the government, improve the rule of law, strengthen supervision, deepen reform, fully mobilize the enthusiasm and initiative of all parties in the market, further stimulate innovation vitality, and provide better financial services for high-quality economic and social development.
First, we should continue to improve the system of financial laws and market rules. Financial transactions involve complex and diverse rights and obligations, have the characteristics of information asymmetry, and have very high requirements for credit, so it is necessary to have a sound regulatory system. The capital market involves a wide range of stakeholders, so it is necessary to respect the laws and rules, focus on promoting the construction of basic systems, and gradually build a legal system for the capital market that meets the requirements of the mainland's development stage.
Second, we will continue to improve the efficiency of financial governance and supervision. The vitality and authority of the law lies in its implementation. Financial innovation is updated and iterated rapidly, and has obvious pro-cyclical and strong spillover, so it is necessary to strengthen the supervision of financial innovation and eliminate gaps and blind spots in a timely manner. The capital market is the intersection of all kinds of risks and the flood discharge area, and it is necessary to adhere to the "two strong and two strict", strictly strengthen supervision in accordance with the law, severely crack down on fraudulent issuance, financial fraud, market manipulation and other violations of laws and regulations, maintain the order of the "three publics" in the market, and effectively ensure the stable and healthy operation of the capital market.
The third is to deepen the supply-side structural reform of the financial sector. At present, there are still some stuck points restricting the high-quality development of the mainland's finance, including the low quality and efficiency of serving the real economy, the unreasonable financing structure, the insufficient support for scientific and technological innovation, green transformation, and the insufficient and effective support for small, medium and micro enterprises. We must make good use of the key measure of reform, focus on breaking down relevant institutional and institutional obstacles, further improve the multi-level capital market system, promote the coordinated development of equity and bond periods, and continuously improve the quality and efficiency of high-quality development of capital market services.
3. Adhere to marketization and rule of law, strengthen supervision and risk prevention, and promote the high-quality development of the capital market
The Party Committee of the China Securities Regulatory Commission will always adhere to the guidance of Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era, fully implement the spirit of the 20th National Congress of the Communist Party of China and the Central Financial Work Conference, thoroughly implement the "Several Opinions on Strengthening Supervision and Preventing Risks and Promoting the High-quality Development of the Capital Market" issued by the State Council, pay close attention to improving the supporting system and rules, promote the formation and implementation of the "1+N" policy system in the capital market, and strive to stabilize the market, stabilize confidence and expectations. The China Securities Regulatory Commission will focus on the overall goal of accelerating the construction of a safe, standardized, transparent, open, dynamic and resilient capital market, and focus on the following tasks.
Enhance the inclusiveness and adaptability of the system and serve the development of new quality productivity. General Secretary Xi Jinping has made many important arrangements for accelerating the development of new quality productive forces. The capital market has natural advantages in sharing innovation risks, promoting the formation of innovative capital, and optimizing the allocation of innovation resources, and has great potential to serve the development of new productive forces. It is necessary to promote the better play of the function of the capital market, do a solid job in the "five major articles" of finance, adhere to the direction of market-oriented and law-based reform, promote the deepening and solidification of the stock issuance registration system, enhance the competitiveness of the capital market system, effectively support scientific and technological innovation, and enhance the inclusiveness of new industries, new forms of business and new technologies.
Comprehensively strengthen supervision in accordance with the law, and more effectively protect the legitimate rights and interests of investors. Adhere to the political and people's nature of capital market supervision, adhere to the main responsibility and main business of supervision, comprehensively strengthen institutional supervision, behavior supervision, functional supervision, penetrating supervision and continuous supervision, and continuously improve the targeted and effective supervision of supervision. Implement the requirements of "long teeth and thorns" and angular supervision, severely punish all kinds of violations of laws and regulations with a "zero tolerance" attitude, strengthen regulatory deterrence, and purify the market ecology. We will accelerate the construction of an all-round and three-dimensional capital market supervision system from import, continuous supervision to export, to institutional supervision and transaction supervision, and actively and steadily promote financial innovation and the construction of regulatory capacity to match.
Improve the accountability system for risk prevention, early warning and handling in the capital market. Finance not only has the function of managing and diversifying risks, but also has its own risk genes, and risk prevention and control is the eternal theme of financial work. It is necessary to adhere to systematic thinking, bottom-line thinking, and limit thinking, coordinate development and security, openness and security, persist in using market-oriented and law-based means to prevent and resolve risks, further improve the basic system of the capital market, and effectively enhance the internal stability of the capital market. Strengthen the monitoring, early warning and early correction of capital market risks, and improve the risk assessment and feedback improvement mechanism for financial innovation activities in the capital market. Improve the accountability mechanism for capital market risks, and consolidate the responsibility for risk prevention and control.
Strengthen the construction of the rule of law in the capital market. When the rule of law is prosperous, the market is prosperous, and when the rule of law is strong, supervision is strong. It is necessary to give better play to the role of the rule of law in consolidating the fundamentals, stabilizing expectations, and benefiting the long-term in the high-quality development of the capital market. Accelerate the formulation and revision of laws and regulations such as the Securities Investment Fund Law, the Regulations on the Supervision of Listed Companies, the Regulations on the Supervision of Corporate Bonds, and the Regulations on the Administration of Real Estate Investment Trusts, so as to significantly increase the cost of securities violations of laws and regulations. Strengthen the three-dimensional accountability of administrative, civil and criminal cases, increase the application of the special representative litigation system for securities disputes, provide a fair and orderly market environment for all types of entities, and promote the innovative development of the capital market with high-quality legal guarantees.
Source: People's Daily, China Securities Regulatory Commission