China plans to tighten grip on finance industry; watchdogs face pay cuts

Currently, China Securities Regulatory Commission and the CBIRC are among rare central government agencies that pay their staff significantly above the compensation of civil servants, said the people

China’s financial watchdogs are facing massive pay cuts as Beijing overhauls the regulatory regime to further tighten the reins on the $60 trillion industry and comply with President Xi Jinping’s “common prosperity” drive. 

Under the shake-up announced on Tuesday, China will set up a new national regulator to oversee all financial sectors except the securities industry. Staff at regulators including the central bank, the foreign exchange regulator, the new authority and the securities watchdog will be paid on par with the nation’s public servants.

That means some officials at the new authority, which will absorb the China Banking and Insurance Regulatory Commission,