With China’s rise, the People’s Bank of China (PBOC) has become one of the most prominent central banks in the world. The chapter emphasizes the evolving nature of the bank with a discussion of its history, organizational locus, and functions. The chapter emphasizes the embeddedness of the PBOC in the Chinese political economy and illustrates the impact of the “new era” on its operations. The reorientation of the economy towards a more sustainable economic model, centralization in decision-making, and a more assertive foreign policy stance in the “new era” brings opportunities for a more market-oriented central banking and increases the risk of diminishing operational independence.