A well-functioning financial system is fundamental to a modern economy, and banks provide unique and vital functions in society. China's banking industry has experienced significant changes since the 'Opening and Reform' era began in 1979, most recently with the launch of the digital RMB. Professor Li introduces the history and changing dynamics of the banking industry in China, particularly the development of risk management in commercial banks after the banking-industry reform in 2004. She also reviews the nature and features of the digital RMB.