Country for PR: China
Contributor: PR Newswire Asia (China)
Wednesday, October 27 2021 - 02:05
Xinhua Silk Road: Resilience & vitality highlighted for China's financial sector to better support the real economy in H2, experts
BEIJING, Oct. 26, 2021 /PRNewswire-AsiaNet/ --

China's financial sector, after having facilitated the stable economic recovery 
in the first half of 2021, is urged to well adhere to the safety bottom line 
and showcase more resilience and vitality to propel the high-quality 
development of the economy in the second half of the year.

Experts made such remarks during the 2021 Annual Conference of Financial Street 
Forum held recently, saying that China's financial sector has been facing both 
external shocks arisen from the possible policy change of central banks of 
developed economies such as the U.S. Federal Reserve and internal worries 
caused by debt crisis of some companies.

Pan Gongsheng, deputy governor of Chinese central bank and head of the State 
Administration of Foreign Exchange, said that compared with the last round of 
tightening cycle of the U.S. Fed, China's economy stays currently in a better 
position in the present economic cycle, meaning that the national economy 
maintained its recovery momentum, which cemented the basis for China's forex 
market to guard against external shocks.

Yi Gang, governor of Chinese central bank, said the debt crisis of Evergrande 
Group represented individual case of debt crisis risks and one third of its 
around 300 billion U.S. dollars of debts is financial liabilities with both 
decentralized creditors and collaterals, indicating controllable spillover 
risks for the financial industry.

Since the start of the third quarter, increasing domestic and foreign risks and 
challenges caused more pressures on China's economic structural transformation 
and against such backdrop, better distribution of financial resources became 
particularly important.

Xiao Yuanqi, deputy head of China Banking and Insurance Regulatory Commission 
(CBIRC) said that developing inclusive finance requires optimizing the 
preciseness of financial services, discovering and satisfying real financial 
needs, and providing financial services that can cushion impacts from the 
business operation cycles and revenue volatilities.

When talking about insurance, Guo Shuqing, head of CBIRC said that despite 
being the second largest by premium incomes worldwide, China's insurance sector 
still needs improvement in its density and depth and the pertinence and 
diversity of insurance coverage are also insufficient. 

Original Link : 

SOURCE: Xinhua Silk Road

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   Caption: Photo shows Sun Shuo, head of Beijing's Xicheng District 
government, delivers a speech at the 2021 Annual Conference of Financial Street