Lujiazui Photo:VCG

China has the conditions, confidence and ability to fend off systemic risks, according to Li Yunze, director of China’s new financial regulatory body at the opening ceremony of the Lujiazui Forum in Shanghai on Thursday.
 
The long-term sound fundamentals of the Chinese economy and its status as an engine of global economic growth will not change, Li, head of China’s National Financial Regulatory Administration (NFRA) said, noting that China's financial sector is generally stable and risks are generally under control.
 
In terms of monitoring risk, Li noted that China will take a more proactive attitude in dealing with various risks with early identification, warning, detection and handling to nip risks in the bud, despite the limited impact from recent international banking risk events on China.
 
Li also pledged to eliminate regulatory blind spots, continue to crack down on chaos in the financial market and punish serious violations of laws and regulations.
 
Li was appointed head of NFRA on May 19. The new regulatory body is set up as part of a broader restructuring of the regulatory regime, to oversee the multi-trillion dollar industry.

Directly under the State Council, or China’s cabinet, the administration is in charge of regulating the financial industry except for the securities sector. The establishment of the bureau comes as China launches reforms to tighten government control of financial markets.

In his speech Li also noted that China will continue to open up its financial sector, foster a market-oriented, legalized and international business environment and welcome sound foreign business to operate in China and qualified foreign institutions to participate in various business pilot projects.
 
Li said that the NFRA and the Shanghai government will jointly issue the relevant rules for the construction of the global reinsurance center in Shanghai, and officially launch the international reinsurance trading market, or reinsurance international board in Shanghai.
 
The 14th Lujiazui Forum, a major financial event, will be held in Shanghai from Thursday to Friday co-chaired by the head of the NFRA and the mayor of Shanghai.
 
The event, themed "Global Financial Opening-up and Cooperation: New Drivers of Economic Recovery," is expected to convey to the outside world China's determination and initiatives to deepen its high-level financial opening-up.
 
Over 70 distinguished Chinese and foreign guests are expected to deliver speeches or join panel discussions on hot topics covering  economic and financial fields, such as global monetary policy adjustment and financial risk prevention.