Editing People's Bank of China (section)

== History ==

===Mao era===
The bank was established on December 1, 1948, based on the consolidation of the [[North China|Huabei]] Bank, the [[Beihai]] Bank and Northwestern Farmers' Bank.<ref name=":32">{{Cite book |last=Liu |first=Zongyuan Zoe |title=Sovereign Funds: How the Communist Party of China Finances its Global Ambitions |publisher=The Belknap Press of [[Harvard University Press]] |year=2023 |isbn=9780674271913 |pages=}}</ref>{{Rp|page=37}} The headquarters was first located in [[Shijiazhuang]], [[Hebei]], and then moved to Beijing in 1949. Between 1950 and 1978 the PBC was the only bank in the People's Republic of China and was responsible for both [[central bank]]ing and [[commercial bank]]ing operations.<ref name=":0232">{{Cite book |last=Roach |first=Stephen S. |url= |title=Accidental Conflict: America, China, and the Clash of False Narratives |date=2022 |publisher=[[Yale University Press]] |isbn=978-0-300-26901-7 |location=New Haven |doi=10.12987/9780300269017 |jstor=j.ctv2z0vv2v |oclc=1347023475 |author-link=Stephen S. Roach}}</ref>{{Rp|page=225}}  All other banks within mainland China such as the [[Bank of China]] were either organized as divisions of the PBC<ref>[http://www.boc.cn/en/aboutboc/ab1/200808/t20080814_1601747.html "History of Bank of China"] {{Webarchive|url=https://web.archive.org/web/20130503230707/http://www.boc.cn/en/aboutboc/ab1/200808/t20080814_1601747.html |date=May 3, 2013 }}, ''Boc.cn'', Retrieved 2015-11-23.</ref> or were non-deposit taking agencies.<ref>[http://www.ccb.com/en/investor/history.html "History"] {{Webarchive|url=https://web.archive.org/web/20130325125531/http://www.ccb.com/en/investor/history.html |date=March 25, 2013 }}, China Construction Bank webpage. Retrieved 2015-11-23.</ref><ref name=":0">{{Cite book |last1=Zimmerman |first1=James M. |url=https://books.google.com/books?id=oDpWHVz2tO0C&pg=PA449 |title=James M. Zimmerman 2010. China Law Deskbook. |publisher=[[American Bar Association]] |year=2005 |isbn=9781616327897 |access-date=June 12, 2018 |archive-url=https://web.archive.org/web/20240606003652/https://books.google.com/books?id=oDpWHVz2tO0C&pg=PA449#v=onepage&q&f=false |archive-date=June 6, 2024 |url-status=live}}</ref>{{Rp|page=449}}

From 1952 to 1955 government shares were added to private banks to make state-private banks, until under the first [[Five-year plans of China|Five Year plan]] from 1955 to 1959 the PBC had complete control of the private banks, making them branches of the PBC, closely resembling the vision of [[Vladimir Lenin]].{{citation needed|date=August 2023}} With aid from the [[Soviet Union]], the shares of private enterprises and with them industrial output followed a similar path, forming a Soviet-style [[planned economy]].

During the [[Cultural Revolution]], the PBC suspended its commercial banking service.<ref name=":32" />{{Rp|page=38}} In June 1969, the [[State Council of the People's Republic of China|State Council]] approved the consolidation of PBC's headquarters as a bureau within the [[Ministry of Finance (China)|Ministry of Finance]].<ref name=":32" />{{Rp|page=38}} In that context, the PBC's head office was downsized to no more than eighty staff.<ref name=BellFeng>{{cite book |author=Stephen Bell & Hui Feng |title=The Rise of the People's Bank of China: The Politics of Institutional Change |publisher=Harvard University Press |year=2013}}</ref>{{rp|58}} Local PBC branches were correspondingly merged into local government finance departments.<ref name=":32" />{{Rp|page=38}}

===Early reform era===
The institutional demotion of the PBC was reversed in March 1978 as it was separated from the Finance Ministry and granted ministerial ranking.{{R|BellFeng|p=62}}

By then and with the exception of special allocations for rural development, the monolithic PBC dominated all business transactions and credit. In 1979, China initiated a transition from that [[single-tier banking system]] to a two-tier system, which was largely completed by 1984.<ref name=":1" />{{Rp|pages=188–189}} In March 1979, as part of the [[Chinese economic reform]]s, the State Council split off state-owned banks from the PBC, first the [[Agricultural Bank of China]] (ABC) and the [[Bank of China]] (BOC). The [[People's Construction Bank of China]], which had been run separately under the Ministry of Finance, was also made autonomous (and later renamed [[China Construction Bank]] in 1986). In January 1984, the PBC's own commercial banking operations were spun off as the [[Industrial and Commercial Bank of China]] (ICBC).{{R|BellFeng|p=63}}<ref name=":0" />{{Rp|page=450}} In September 1983, the State Council had promulgated that the PBC would function exclusively as the central bank of China and no longer undertake commercial banking activities.<ref name=":32" />{{Rp|page=42}}

Modernization efforts continued in the late 1980s and early 1990s. In 1990, the PBC moved into its new head office building, prominently located on [[West Chang'an Avenue]].<ref name=Yu>{{cite book |title=Chang'An Avenue and the Modernization of Chinese Architecture |author=Shuishan Yu|location=Seattle and London |publisher=University of Washington Press |date=2012 |url=http://www.e-library.upj.ac.id:99/slims/e-books/index.php?p=fstream-pdf&fid=2728&bid=1416}}</ref>{{rp|47}} In 1991, Vice Governor [[Chen Yuan]] spearheaded the creation of the Electronic Interbank System (EIS), the PBC's first state-of-the-art [[financial market infrastructure]].{{R|BellFeng|p=285}} In 1992, however, the PBC had to reluctantly concede the spinning off of its securities regulatory duties to the newly established [[China Securities Regulatory Commission]],{{R|BellFeng|p=149}} whose first chair was former PBC vice governor [[Liu Hongru]].

The bank's profile was greatly raised by the appointment of [[Zhu Rongji]] as its governor in 1993, simultaneously as his role as [[Vice Premier of China|Vice Premier]] in charge of economic and financial affairs.{{R|BellFeng|p=125}}. Its central bank status was legally confirmed on March 18, 1995, by the 3rd Plenum of the [[8th National People's Congress]], and was granted a higher degree of autonomy than other State Council ministries by an act that year.<ref name=":1">{{Cite book |last1=Chiu |first1=Becky |url=https://books.google.com/books?id=-GTCsC6AqVUC&pg=PA203 |title=Reforming China's State-owned Enterprises and Banks |last2=Lewis |first2=Mervyn |date=2006-01-01 |publisher=Edward Elgar Publishing |isbn=978-1-84542-988-1 |pages= |language=en |access-date=June 12, 2018 |archive-url=https://web.archive.org/web/20231225171546/https://books.google.com/books?id=-GTCsC6AqVUC&pg=PA203#v=onepage&q&f=false |archive-date=December 25, 2023 |url-status=live}}</ref>{{Rp|page=203}} In 1996 and 1996, the PBC established fundamental regulations on loans and consumer credit.<ref name=":44">{{Cite book |last=Brussee |first=Vincent |title=Social Credit: The Warring States of China's Emerging Data Empire |publisher=[[Palgrave MacMillan]] |year=2023 |isbn=9789819921881 |location=Singapore |doi=10.1007/978-981-99-2189-8}}</ref>{{Rp|page=20}}

In 1998, the PBC underwent a major restructuring. All provincial and local branches were abolished, and the PBC opened nine regional branches, whose boundaries did not correspond to local administrative boundaries.<ref name=":3">{{Cite news |last=Wei |first=Lingling |author-link=Lingling Wei |date=2023-03-12 |title=Xi Jinping Brings China's Reform Era to an End |url=https://www.wsj.com/articles/xi-jinping-brings-chinas-reform-era-to-an-end-610b9186 |url-access=subscription |url-status=live |archive-url=https://web.archive.org/web/20230829101600/https://www.wsj.com/articles/xi-jinping-brings-chinas-reform-era-to-an-end-610b9186 |archive-date=August 29, 2023 |access-date=2023-09-03 |work=[[The Wall Street Journal]] |language=en-US |issn=0099-9660}}</ref> The nine branches were located in [[Chengdu]], [[Guangzhou]], [[Jinan]], [[Nanjing]], [[Shanghai]], [[Shenyang]], [[Tianjin]], [[Wuhan]], and [[Xi'an]], complemented by a sub-provincial network of city-level and county-level sub-branches.{{R|BellFeng|p=144}} That same year, the so-called credit plan, a key feature of China's former state planning process, was finally abandoned, allowing the PBC to play a genuine role as monetary policy authority.{{R|BellFeng|p=99}}

===21st century===
In 2003, the [[Standing Committee of the National People's Congress]] approved an amendment law for strengthening the role of PBC in the making and implementation of monetary policy for safeguarding the overall financial stability and provision of financial services.{{citation needed|date=August 2023}} That year, the long overdue restructuring of China's banking sector made major progress with the creation of [[Central Huijin Investment]], a PBC-managed fund that allowed the PBC to take the lead from the [[Ministry of Finance (China)|Ministry of Finance]] on the restructuring process and from the [[Organization Department of the Chinese Communist Party|CCP Central Organization Department]] on the appointment of senior bank executives.{{R|BellFeng|p=279-281}} That same year, however, the PBC reluctantly lost its direct authority over banking supervision with the creation of the [[China Banking Regulatory Commission]].{{R|BellFeng|p=149}}

In 2005, the PBC elevated its branch in [[Shanghai]] to the status of "second head office", in a move intended to mirror the prominent market-facing role of the [[Federal Reserve Bank of New York]] within the US [[Federal Reserve System]].{{R|BellFeng|p=123}} In 2006, the PBC established the Credit Reference Centre to provide financial credit reporting.<ref name=":44" />{{Rp|page=47}} In 2008, the PBC lost the direct ownership stakes it had built up in much of China's financial sector as the ownership of Central Huijin was transferred to the [[China Investment Corporation]] (CIC), a newly created [[sovereign wealth fund]].{{R|BellFeng|p=287}}

During the [[Great Recession]], the PBC helped address bank liquidity crisis by signing swap agreements with numerous other countries to provide them with liquidity based on the [[renminbi]].<ref name=":024">{{Cite book |last=Jin |first=Keyu |title=The New China Playbook: Beyond Socialism and Capitalism |date=2023 |publisher=Viking |isbn=978-1-9848-7828-1 |location=New York |author-link=Keyu Jin}}</ref>{{Rp|page=267}} {{As of|2021}}, China has swap agreements with 40 countries.<ref name=":024" />{{Rp|page=271}}

In 2010, the PBC issued administrative measures regarding [[Payment service provider|online non-financial payment services]].<ref name=":Zhang">{{Cite book |last=Zhang |first=Angela Huyue |title=High Wire: How China Regulates Big Tech and Governs Its Economy |publisher=[[Oxford University Press]] |year=2024 |isbn=9780197682258}}</ref>{{Rp|page=33}} These measures retroactively recognized the legal status of online third-party payment platforms like [[Alipay]].<ref name=":Zhang" />{{Rp|page=33}} Prior to the 2010 measures, these services existed in a legal grey area.<ref name=":Zhang" />{{Rp|page=32}}

In 2015, the PBC hosted China's first formal [[deposit insurance]] scheme.<ref>{{cite web |author=Susan Desai |date={{date|2016/02/24}} |url=https://www.frbsf.org/research-and-insights/blog/sf-fed-blog/2016/02/24/regional-comparison-chinas-new-deposit-insurance-system/ |title=A Regional Comparison of China's New Deposit Insurance System |website=Federal Reserve Bank of San Francisco Pacific Exchange Blog |access-date=April 2, 2024 |archive-date=April 2, 2024 |archive-url=https://web.archive.org/web/20240402125121/https://www.frbsf.org/research-and-insights/blog/sf-fed-blog/2016/02/24/regional-comparison-chinas-new-deposit-insurance-system/ |url-status=live }}</ref> In 2019, this scheme was reorganized as a subsidiary of the PBC, the Deposit Insurance Fund Management Company.<ref>{{cite web |url=https://www.caixinglobal.com/2019-07-08/in-depth-the-challenges-facing-chinas-nascent-deposit-insurance-system-101436661.html |website=Caixin Global |date={{date|2019/07/08}} |title=In Depth: The Challenges Facing China's Nascent Deposit Insurance System |author=Zhang Yuzhe, Wu Hongyuran & Teng Jing Xuan |access-date=April 2, 2024 |archive-date=April 2, 2024 |archive-url=https://web.archive.org/web/20240402125125/https://www.caixinglobal.com/2019-07-08/in-depth-the-challenges-facing-chinas-nascent-deposit-insurance-system-101436661.html |url-status=live }}</ref> Meanwhile, in 2017, the PBC was tasked with the secretariat of China's newly established [[Financial Stability and Development Committee]] chaired by Vice Premier [[Liu He (politician)|Liu He]]. In 2020, the PBC initiated supervision of significant [[Financial holding company|financial holding companies]].<ref>{{citation |title=Will China's impending overhaul of its financial regulatory system make a difference? |author=Martin Chorzempa and Nicolas Véron |url=https://www.piie.com/sites/default/files/2023-03/pb23-1.pdf |date=March 2023 |publisher=Peterson Institute for International Economics |location=Washington DC |access-date=April 2, 2024 |archive-date=May 25, 2024 |archive-url=https://web.archive.org/web/20240525204752/https://www.piie.com/sites/default/files/2023-03/pb23-1.pdf |url-status=live }}</ref>{{rp|6–7}}

The PBC underwent through another major restructuring in 2023 as part of the [[plan on reforming Party and state institutions]], with the abolition of the nine regional branches established in 1998, which had already seen their authority watered down by a change in 2004 that had returned authority to the PBC's branches at the provincial level and further changes in 2018.<ref>{{cite web |author=Wu Hongyuran, Zhang Yuzhe & Lin Jinbing |date={{date|2018/08/20}} |title=Central Bank to Turn Clock Back to 1998, Give Each Province Own Branch |url=https://www.caixinglobal.com/2018-08-20/central-bank-to-turn-clock-back-to-1998-give-each-province-own-branch-101316939.html |url-status=live |archive-url=https://web.archive.org/web/20221225212542/https://www.caixinglobal.com/2018-08-20/central-bank-to-turn-clock-back-to-1998-give-each-province-own-branch-101316939.html |archive-date=December 25, 2022 |access-date=April 13, 2024 |website=[[Caixin]]}}</ref><ref name=":3" /> Additionally, the PBC's county-level branches were absorbed by city-level branches.<ref name=":4">{{Cite news |date=8 March 2023 |title=What China's Powerful Financial Regulator Means for PBOC |work=[[Bloomberg News]] |url=https://www.bloomberg.com/news/articles/2023-03-08/what-china-s-new-powerful-financial-regulator-means-for-pboc |access-date=3 September 2023 |archive-date=June 4, 2023 |archive-url=https://web.archive.org/web/20230604021943/https://www.bloomberg.com/news/articles/2023-03-08/what-china-s-new-powerful-financial-regulator-means-for-pboc |url-status=live }}</ref> The new branches were inaugurated on August 18, 2023.<ref name=":5">{{Cite news |date=18 August 2023 |title=中国人民银行各省（自治区、直辖市）分行、计划单列市分行及地（市）分行今日挂牌 |trans-title=Branches of the People's Bank of China in all provinces (autonomous regions, municipalities directly under the Central Government), branches in cities specifically designated in the state plan, and prefectural (city) branches are listed today |work=[[China News Service]] |url=https://www.chinanews.com.cn/cj/2023/08-18/10063175.shtml |access-date=3 September 2023 |archive-date=August 18, 2023 |archive-url=https://web.archive.org/web/20230818040334/https://www.chinanews.com.cn/cj/2023/08-18/10063175.shtml |url-status=live }}</ref> The oversight over financial holding companies and financial consumer protection was also transferred from the PBC to the newly established [[National Financial Regulatory Administration]] (NFRA).<ref name=":4" /> Around 1,600 county-level branches of the PBC are planned to be absorbed to the NFRA; the PBC had 1,761 such branches at the end of 2021.<ref name=":6">{{Cite news |last1=Cheng |first1=Leng |last2=Sun |first2=Yu |date=25 December 2023 |title=China sidelines its once venerated central bank |work=[[Financial Times]] |url=https://www.ft.com/content/b809c735-5ae7-433f-964d-f12ca7320538 |url-status=live |url-access=subscription |access-date=25 December 2023 |archive-url=https://web.archive.org/web/20231225073827/https://www.ft.com/content/b809c735-5ae7-433f-964d-f12ca7320538 |archive-date=December 25, 2023}}</ref>