Xi Is No Fan of Bankers. He’s Got Reasons
Just like in the West, executive pay and the role of finance in exacerbating inequality are worrying China’s political elite.
Tackling a hot-button social issue.
Photographer: AFP/Getty Images
The disconnect between Wall Street and Main Street is reaching a flash point in China.
President Xi Jinping has made it clear that he is no fan of bankers and uncertain of what value they add to society. His powerful anti-graft agency is conducting new inspections of the largest lenders and financial regulators, only three years after the previous round. Pay caps and more stringent clawback clauses are being formulated at state-owned institutions. New legislation on the regulation of all aspects of finance, from shareholder rights to insurers’ risk exposure, is in the works.