Pledge made to deepen high-level financial sector opening

Chen Yulu, deputy governor of the People's Bank of China, the central bank,  urged further implementation of pre-establishment national treatment plus the negative list management system. This model puts areas that are not suitable for opening into a "negative list", while allowing others broad access to the domestic market. 

"A negative list is an effective model that can enhance the transparency and predictability of policies, and can stimulate the vitality of the market," Chen said at the China International Finance Annual Forum 2021 in Beijing, which was held as part of the ongoing 2021 China International Fair for Trade in Services, or CIFTIS.

During the opening-up process, there is still room for optimizing regulatory policies, which can improve the business environment for foreign investors, Chen said. 

On July 21 at an executive meeting of the State Council, China's cabinet, there was a call for optimizing the requirements for the access threshold of foreign banks, insurance companies and other financial institutions, improving the rules for cross-border transactions between parent companies and subsidiaries, and optimizing channels for foreign capital to participate in the domestic financial market. 

"That is the direction of our efforts," said the central bank's deputy governor, who pledged to improve the monetary policy and macro-prudential policy framework, enrich the policy toolbox, and prevent systematic financial risk. Improving regulations on fintech is one of the key tasks, Chen said.