A view of the PBC building in Beijing Photo: VCG

Chinese and US officials held the fifth meeting of the bilateral Financial Working Group on Thursday and Friday in Shanghai, where the two sides signed a document on enhancing cooperation on financial stability, the People's Bank of China (PBC), the central bank, said on Monday. 

Discussions and cooperation between the world's two biggest economies are crucial to ensure global financial stability, as the world confronts growing risks and challenges from an economic downturn, experts said. 

The meeting was co-chaired by Xuan Changneng, vice governor of the PBC and Brent Neiman, assistant secretary of the US Department of the Treasury, and was attended by officials from various departments of the two countries, including China's National Financial Regulatory Administration and the US Federal Reserve, according to a statement by the PBC. 

The two sides held "professional, pragmatic, candid and constructive" discussions on a wide range of issues, including economic and financial trends of the two countries, monetary policies, financial stability and regulation, the PBC said. 

Significantly, the PBC and the US Department of the Treasury signed an exchange of letters on strengthening cooperation on financial stability under the framework of the China-US Financial Working Group, according to the statement. 

The two sides also exchanged the list of contacts for financial stability, with the aim of maintaining timely and smooth communication channels between the financial management departments of both parties and reducing uncertainty when financial stress events and operational risks of financial institutions occur. 

"The PBC also raised concerns with the US Department of the Treasury on relevant issues, and both sides agreed to continue communication," the central bank said. 

Coming at a time of persisting tension between China and the US with the latter's intensifying crackdown against Chinese products and companies, the talks showed that the two sides are maintaining dialogue, which sends a positive signal for the world amid growing risks and challenges, experts said. 

"Seeking to reach consensus on relevant issues between the world's two largest economies is very important for global financial stability," Song Guoyou, a deputy director of the Center for American Studies at Fudan University, told the Global Times on Monday, noting that the talks were aimed at exchanging views on issues of mutual concern in the financial industry. 

Notably, during the meeting, the two sides discussed financial policy topics including China's agenda on further comprehensively deepening reform decided at the third plenary session of the 20th Central Committee of the Communist Party of China, according to the PBC's statement.   

The third plenary session, which is crucial for China's reform agenda for years to come, stated that China will further reform the financial system and remain committed to the basic state policy of opening to the outside world and continue to promote reform through opening-up, according to a communique released after the session. 

Song said that China's financial reforms outlined at the third plenary session were of great significance for both China and the US, and discussions on the issue at the meeting will help the US side better understand China's financial environment.

"Overall, the talks covered a wide range of important and complex topics. The meeting created an effective platform for the two sides to address each other's concerns," Song said.