China to merge regulators

BEIJING – China said it will merge its banking and insurance regulators and create a new agricultural and rural village ministry, a parliament document released on Tuesday showed, among a number of proposed changes in the biggest ministry shake-up in years.

China will also transfer some of the banking and insurance regulators’ roles to the central bank, the document showed, in a long-awaited move to streamline and tighten oversight of the financial system in the world’s second-biggest economy.

Since the beginning of last year, Beijing has cracked down on leverage and risky market practices, with China’s financial regulators releasing a flurry of new rules in an attempt to rein in risks.

China is restructuring the responsibilities, roles and powers of its state institutions to make them more efficient. President Xi Jinping’s top economic adviser, Liu He, said that such reform would be profound.