CCTV news:At present, our country has become the largest banking market and the second largest insurance market in the world. As the financial industry further expands and opens up, the attractiveness of China’s financial market is increasing day by day. Compared with the end of 2017, at the end of the third quarter of this year, the assets of foreign banks in China increased by 16.91%, and the assets of foreign insurance companies increased by 126%. Foreign-funded corporate banks headquartered in Shanghai account for about half of the country’s total. Let’s take a look at the reporter’s report from the gathering place of foreign financial institutions in Shanghai.
CCTV reporter Tian Qiyong:The location I am currently in is the World Financial Center in Lujiazui, Shanghai. In this building, the number of foreign clients accounts for more than 50%, many of which are well-known international financial institutions.
The Shanghai Branch of First Bank of Abu Dhabi in the United Arab Emirates is one of the latest foreign financial institutions to settle in the building. When this foreign bank opened, it was qualified to operate foreign exchange business and RMB business within the prescribed scope.
During the interview here, the reporter found that it was not just the “new friends” that were fruitful. Commerzbank has been developing in China for more than 40 years and has always been confident in the Chinese market.
There are not only foreign-funded banks, but also foreign-funded insurance institutions. The person in charge of this foreign-funded insurance institution, which was the first to enter the Chinese insurance market, told reporters that thanks to China’s large open market, the company’s performance has grown steadily over the years.
As my country’s financial industry further expands and opens up, more and more international financial institutions are focusing on China. From January to September this year, the State Administration of Financial Supervision approved foreign-funded banks to increase (inject) capital totaling 1.96 billion yuan equivalent, approved the preparation for the establishment of 2 foreign-funded bank branches, and approved the opening of 6 foreign-funded bank business institutions. Data shows that as of the end of September this year, 202 banks from 52 countries and regions had established institutions in China.
Liu Jianren, Director of the Shanghai Supervision Bureau of the State Administration of Financial Supervision and Administration:The influx of various foreign financial institutions will help enrich financial market entities, optimize financial supply, improve the financing function and resource allocation efficiency of the Chinese market, and promote a wider, wider and deeper opening to the outside world.
The pace of opening up of China’s financial industry continues to accelerate
Since the beginning of this year, our country has introduced a series of opening-up measures in banking and insurance and other fields, and the opening-up of the financial industry continues to take strong steps.
In the Shenzhen Park of the Loop Shenzhen-Hong Kong Science and Technology Innovation Cooperation Zone, a number of research institutes have recently settled in. The initial stage of settlement is when funds are needed. However, according to the existing management policies, it is difficult to directly remit scientific research funds from overseas where the research institutes are located. In order to solve this problem, my country has launched the “Science and Technology Huitong” pilot project in Hetao, allowing overseas research funds to be directly remitted.
Zhu Songtao, Director of the Capital Project Management Division of Shenzhen Branch of the People’s Bank of China:The Loop’s “Technology Huitong” focuses on science and technology innovation finance and cross-border finance, providing a new path for some scientific research institutions in the Loop to allocate scientific research funds across borders.
This scientific and technological innovation institute under preparation has received the first overseas scientific research funds remitted after the “Kehuitong” pilot project. This money will be used for the purchase of institute equipment, talent recruitment and other aspects.
Wang Xuelai, Executive Director of Shenzhen-Hong Kong Science and Technology Innovation and Translational Medicine Research Institute (in preparation) in Hetao, Futian District, Shenzhen:In the future, as the transformation projects continue to be implemented and clarified, new funds will continue to enter the institute and the Loop through the “Kehuitong” path for our scientific research and development.
“Kehuitong” is just one example of my country’s financial reform and opening up. In recent years, my country has significantly relaxed financial market access. In the banking and insurance industry, restrictions on foreign equity ratios in banks and personal insurance companies have been eliminated; quantitative thresholds for foreign investment have been significantly reduced, and many quantitative restrictions such as total asset operating years have been cancelled. In the securities industry, restrictions on foreign shareholding ratios in securities, funds, and futures companies have been completely abolished, and foreign-invested institutions enjoy national treatment in terms of business scope and regulatory requirements; the interconnection of cross-border securities markets has been promoted, and the Shanghai-Shenzhen-Hong Kong Stock Connect and the Shanghai-London Stock Connect have been launched. , Bond Connect, and promote interconnection and cooperation in the interest rate swap markets between the Mainland and Hong Kong.
As the opening-up policy takes effect, a number of high-quality foreign-funded institutions with professional characteristics have entered the Chinese market. The first foreign-funded financial management company, the first foreign-funded insurance holding company, the first foreign-funded pension insurance company, etc. have all been established. The business scope of foreign financial institutions in China is also getting wider and wider.
Since 2018, my country has launched more than 50 opening-up measures in the financial field, foreign investment access conditions have continued to relax, and domestic market rules and systems have continued to align with international standards. The foreign direct investment restriction index in the financial industry compiled by the Organization for Economic Cooperation and Development (OECD) shows that China is the country with the fastest improvement and the largest improvement in the ranking of financial industry openness in recent years.
RMB internationalization is making steady progress
As China’s financial industry continues to open up to the outside world, the level of RMB internationalization has also continued to improve, showing a series of new developments and changes.
Since the beginning of this year, the internationalization of the RMB has made gratifying progress. From the perspective of trade, from January to September, the proportion of RMB settlement in goods trade reached 24.4%, an increase of 7 percentage points year-on-year, the highest level in recent years; at the same time, The financing currency function of RMB has been steadily improved. In September, the RMB accounted for 5.8% of global trade financing, a year-on-year increase of 1.6 percentage points, and its ranking rose to second place. Currently, more than 80 countries and economies around the world have included the RMB as a reserve currency.
Wang Yiming, member of the Monetary Policy Committee of the People’s Bank of China and vice chairman of the China Center for International Economic Exchanges:Financial reform and opening up has presented a new situation. The RMB has joined the International Monetary Fund’s Special Drawing Rights (SDR), becoming the world’s third largest basket currency and fifth largest reserve currency.
The continuously expanding open channels have attracted a large number of international medium and long-term investors to accelerate the allocation of RMB assets. As of the end of June 2023, the market value of domestic securities held by foreign investors increased by 1.8 times compared with the end of 2017. A-shares have been included in the world’s three major international mainstream stock indexes. While increasing their holdings of RMB assets, many international financial institutions have increased their investments in China.
Greg Hult, Global Director of Multi-Asset Investments at Allianz Investors:China’s capital market is developing rapidly and has become an increasingly close and vital part of the world’s financial system. In our view, China’s mid- to long-term economic prospects are positive, and investing in China’s economic growth will achieve good results.
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责编：王宏泽 ]
2023-11-01 01:52:00
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