The Central Office and State Council have issued a directive emphasizing the need to establish a robust 'firewall' between industrial capital and financial capital. This measure aims to fortify capital adequacy management, tighten corporate governance supervision, and rigorously control liquidity risks. The directive outlines plans to implement consolidated financial statement management for financial holding companies, regulate shareholder conduct, and strengthen the comprehensive corporate supervision framework. These initiatives are designed to prevent corporate financial fraud and ensure the stability and sustained healthy growth of the financial market.
