This week, the Standing Committee of the People's Congress appointed a new governor of the People's Bank of China (Central Bank). Pan Gongsheng replaces Yi Yang at the head of the institution, who is retiring after reaching the maximum regulatory age.

Gongsheng had been appointed a few days ago as Communist Party Secretary at the Bank, which strengthens his power, analysts said. Both positions had not been held by the same person since 2018.

Who is Gongsheng? He is a technocrat with extensive experience in the Chinese financial sector and has been at the Central Bank for 11 years. The new governor has done research work at Harvard and Cambridge universities and has very good contacts with the leaders of other central banks.

His appointment is seen as a strategy of continuity continuity strategy in the bank's and the government's policies, which seek to reactivate the Chinese economy, which has been losing steam in recent months, and represents a technical management of the institution, which has been implementing an interest rate system closer to a market-based one.

Analysts believe that Gongsheng, who together with his predecessor participated in the promotion of financial and foreign exchange sector reforms, will continue on this path of reforms to liberalize financial and foreign exchange markets and promote the gradual opening of the capital account, will continue on this path of reforms to liberalize the financial and foreign exchange markets and promote the gradual opening of the capital account.