China News Service, Shanghai, October 24 (Reporter Wang Enbo) People’s Bank of China Governor Yi Gang delivered a video speech at the Second Bund Financial Summit held in Shanghai on the 24th, stating that the internationalization of the renminbi must adhere to market leadership and regulatory authorities should reduce The restrictions on the cross-border use of renminbi, go with the flow.
In the past two years, China's financial industry has taken milestone steps in opening up, and more than 50 opening measures have been announced in a concentrated manner.
Yi Gang pointed out that the opening of the financial industry not only introduced institutions, businesses, and products, increased the supply of financial elements, but also promoted the improvement of institutional rules and the supply of financial systems.
This is conducive to improving the efficiency and ability of financial services to the real economy and boosting the high-quality development of the Chinese economy.
Talking about how to further promote the opening of the financial industry, Yi Gang proposed that China should fully implement the pre-access national treatment plus a negative list management system, and promote the transformation of the opening concept and model.
He bluntly stated that despite the rapid pace of opening up of China’s financial industry, the People’s Bank of China has also noticed in its communications with foreign financial institutions and foreign central banks that foreign investors still need to apply for many permits and face many operations after the restrictions on institutional access and business development are lifted There are still many demands for the opening up of the financial industry, “this shows that there is still a lot of work to be done in the transition of the financial industry to negative list management.
Yi Gang emphasized that there is no contradiction between the negative list and the licensed operation of the financial industry. Under the negative list model, the access and business development of financial institutions must also meet the qualification requirements and operate with a license.
The negative list is not inconsistent with strengthening supervision during and after the event. Under the negative list model, the supervisory authority can shift more resources from access management to supervision during and after the event, so as to improve the effectiveness of supervision.
In addition, China will also coordinate the promotion of the opening of the financial service industry, the reform of the RMB exchange rate formation mechanism, and the internationalization of the RMB.
Yi Gang said that the reform of the RMB exchange rate formation mechanism should enhance the flexibility of the RMB exchange rate and better play the role of the exchange rate as an "automatic stabilizer" in macroeconomic stability and international balance of payments.
The internationalization of the RMB under the new situation can further improve the support system for the use of the local currency on the basis of insisting on market dominance, and create a better environment and conditions for the market's role.
He also mentioned that China will strengthen macro-prudential management, improve the professionalism and effectiveness of financial supervision, build various "firewalls", improve the ability to prevent and defuse major risks, and adapt its regulatory capabilities to the level of openness.