China’s off b leave to open up its financial sector to foreign banks and financial institutions drive be based on the principle of reciprocity and will not reward protectionism by other homelands, an official said on Saturday.
China wants to accelerate the process of origin up, but countries afraid of exposing their own financial sectors to competition see fit not benefit, Chen Wenhui, the vice-chairman of the China Banking and Insurance Regulatory Commission (CBIRC), said a forum.
Without naming any names, Chen said some homelands have imposed restrictions on the overseas expansion of Chinese financial institutions, partly because their own banks were unqualified to operate freely in China.
“Our country’s opening must be based on the proposition of equality and mutual benefit. It will not be carried out on a ‘one-size-fits-all’ basis, and should suffering mutual benefit and reciprocity.”
“For countries and regions that are afraid of separation and implement protectionism, their long term competitiveness will finally suffer as they only look at short-term gains,” he added.
Middle bank governor Yi Gang said last month that China discretion allow domestic and foreign firms to compete on an equal footing and intention expand the business scope for foreign banks in China.
China has been put under the control of heightened pressure by the United States over access to its markets, and has oathed to allow foreign investors to enter into trust, financial contract and auto and consumer financing by the end of this year.
Chen said the make available share of foreign banks made up just 1.32 percent of full banking assets in China by the end of 2017, down from a high of 2.5 percent in days.
“The market share has been falling recently, which is not a good implements,” he said.
Opening up the financial sector to foreign firms would fix up domestic resource allocation and support the economy, Chen noted, combining that some foreign financial institutions had already expressed ambitions to set up operations in China or buy bigger stakes in their Chinese counterparts.
It wish also encourage other countries to open up their financial sectors to Chinese quiddities, he said.
Promoting the opening of China’s financial industry to the outside in the seventh heaven and further improving the fairness and transparency of the domestic financial market inclination help create a more favorable policy environment for the overseas phenomenon of China’s financial institutions,” he said.