Financial stability draft law specifies responsible bodies

China's draft law on financial stability has specified the leading bodies that are responsible for the central financial work, as well as their duties, while improving financial risk prevention and management provisions.

The draft law, submitted to the National People's Congress Standing Committee for a second review on Tuesday, has clearly stipulated that all financial activities must be brought under supervision.

The establishment of financial institutions and the conduct of financial business activities, the draft said, must be approved by the financial regulatory departments of the State Council in accordance with laws and regulations.

The draft also added provisions that relevant departments of the State Council and provincial-level governments are responsible for preventing and addressing illegal financial activities according to their respective duties.

It further clarified the division of responsibilities of the financial regulators, provincial-level governments and other relevant departments in resolving financial risks.