China's Efforts to Rein in Financial Risk

The video discusses China's focus on containing financial risks, highlighting past economic priorities like stable growth and recovery from the global financial crisis. It emphasizes the recovery of the Chinese economy and the need to address over-leveraged issues, including property overheating and off-balance sheet liabilities. The video also covers the ongoing deleveraging efforts and a secretive economic meeting in Beijing, speculating on a more coordinated regulatory approach under the PBOC. Finally, it addresses regulatory arbitrage in China and the associated risks.

What changes are being proposed regarding the regulatory framework in China?

What does the term 'regulatory arbitrage' refer to in the context of the text?