Shang Fulin, the newly appointed chairman of China's Banking Regulatory Commission, is regarded as quiet and conservative, one of China's few economic leaders not to have earned a degree at a prominent university or studied overseas. (Photo/CFP)
Taiwanese bankers will be keeping a watchful eye on new financial leaders in China after a leadership reshuffle in the country's banking, security and insurance regulatory commissions, particularly with the appointment of Shang Fulin to the China Banking Regulatory Commission.
The reserved Shang, former chairman of the China Security Regulation Commission, is billed as a conservative by China's financial sector and some bankers in Taiwan wonder if his appointment will increase communication difficulties between China and Taiwan, according to Want China Times' sister paper Want Daily.
Shang was born in 1951 in Jinan, the provincial capital of Shandong. He joined the Chinese Communist Party in 1970 while serving in the military from 1969 to 1973. He worked at a Beijing branch office of the People's Bank of China from 1973 to 1978 before studying at Beijing Finance University, where he earned a doctorate in finance in 1982.
In February 2002, Shang was appointed president of Agricultural Bank of China. Since the end of 2002, Shang has served as president and the Party chief of the China Securities Regulatory Commission, positions he took over from current central bank governor Zhou Xiaochuan.
Shang oversaw a series of innovations during his post as head of the securities regulator, including the launch of a Nasdaq-style second board, index futures and margin trading, as well as the unloading of a large overhang of previously untradable shares in state companies. He also marshaled a crackdown on market manipulation and insider trading to try to stamp out rampant problems that have eaten away at the country's stock markets since their inception more than two decades ago.
At one point, when the stock market fell below 1,000 points to historic lows, Shang said, "Once the bow is pulled, the arrow will not turn around," underscoring his determination. His reforms helped trigger a stock market recovery.
Shang Fulin 尚福林